Since April 2016, most UK companies and LLP’s have been obliged to keep a Register of People with Significant Control (PSC Register) and publicly disclose most of those details at Companies House in an annual Confirmation Statement (which replaced the old Annual Return).
Broadly speaking, the PSC Register records the identities of those individuals who own or control, whether directly or indirectly, more than 25% of a company’s shares or voting rights, or who otherwise exercises significant control over the company and its management. From 26 June 2017, in accordance with the provisions of the new 4MLD, there are some key changes to the reporting requirements. PSC notifications are no longer disclosed at Companies House via the annual Confirmation Statement and should be instead disclosed within 14 days of the PSC Register being updated. Scottish Partnerships are also brought into the regime.
How do these changes impact you?
David Cameron’s statement said the UK would create the world’s first International Anti-Corruption Coordination Centre in London, in partnership with the United States, Canada, Australia, New Zealand, Switzerland, and Interpol.
According to Cameron, France, the Netherlands, Nigeria, and Afghanistan have agreed to launch their own public registers of true company ownership.
Australia, New Zealand, Jordan, Indonesia, Ireland, and Georgia agreed to take “the initial steps” towards making similar arrangements.
Cameron further stated “It needs an unprecedented, courageous commitment from world leaders to stand united, to speak into the silence, and to demand change.”
Why is it important?
Filing changes: The new requirements to the PSC Register requires companies to register changes in PSC Register within 28 days which is a significant rise in the amount of paper-work and administrative implementations.
Non-listed DTRS issuers: Companies House Announcement states that, from 26 June 2017, the exemptions applying to non-listed DTR5 issuers under the existing PSC regime will change and such entities may need to provide PSC information. The extent of this change will not be known until the relevant legislation is available, but for the time being our advice to non-listed DTR5 issuers is to familiarise themselves with the general requirements of the PSC regime.
Scottish Limited Partnerships and General Partnerships: Similarly to the DTR5 issuers point above, the impact of this legislation to the active Scottish LPs and GPs is not known, but corporate bodies falling under this category should learn about the steps required to comply with PSC Regime requirements as of 26 June 2017.
More Group can help:
With a strong and prominent experience of over 12 years in providing distinguished accounting services in the UK, More Group staffs knowledgeable tax accountants in their team. Our specialised tax accountants provide tailored solutions for your business to help you comply with the PSC Register changes duly, and specifically. By taking responsibility to cater to these changes on your company’s behalf, More Group ensures driving your business to its objectives whilst offering you a complete peace of mind.
Book a consultation soon with one of our specialised accounting members, and find out how well your business can fit the compliances of the PSC Register changes. Note: The information should not be construed as legal or other advice as it designed as an information source only © More Group 2018. All rights reserved.