Hundreds of company owners to be revealed in the BVI for the first time. Is this a step towards corporate transparency or just a cover-up?
In an attempt to preserve international standards and cultivate better corporate practices, amendments have been announced pertaining to the British Virgin Islands (BVI) Business Companies Act and BVI Business Companies Regulations, coming into effect on January 1, 2023. The regulation changes, which aim to promote transparency, will reveal thousands of company owners for the first time. Perhaps of greatest interest to many entities based in the BVI is the introduction of compulsory annual financial return filing, a task that was thus far not required.
Moreover, the list of directors will thereafter be publicly available. As of January 1, 2023, companies will have to file a new annual return with their registered agent within nine months of the calendar year-end or at the end of the company’s financial year. While annual returns must be filed with the Registrar and company agents will have to advise the Registrar if annual returns are not filed by their clients, the information supplied will not be made publicly available. Exempt from the above-mentioned amendment are companies that provide financial statements to the Commission and companies that file their annual tax returns and financial statements with the BVI Inland Revenue.
As it stands, directorship is only obtainable if accompanied by a court order. Following the changes to be implemented within the new year, however, a list of directors will be accessible to BVI online and VIRRGIN system registered users. It is worth noting that the list will include just the directors’ names with no additional personal details provided.
Also affected by the amendments introduced on August 12, 2022, are voluntary liquidator qualifications for solvent liquidations, strike offs and restoration, and the dissolution of bearer shares.
