UBO Register (Republic of Cyprus): Changes in Penalties & Deadlines

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 This article is an update to our earlier article entitled:  Annual Review & Confirmation of UBO Register (Republic of Cyprus) begins 1 October 2024 . 

 

The Department of Registrar of Companies and Intellectual Property (DRCIP) of the Republic of Cyprus has  announced the following changes to the penalties and deadlines governing the Ultimate Beneficial Ownership Register (UBO Register):

Who is subject to penalties for late or no filings to the UBO Register?

  • The monetary penalties previously imposed on each director and secretary of the entity concerned have now been abolished.
  • Monetary penalties will only be imposed on the company or legal entity concerned.

Who is liable to pay those penalties?

  • A company or a legal entity which refuses to, omits from, or neglects to comply with its obligation to submit beneficial ownership particulars onto the UBO Register is subject to monetary penalties.
  • A director or managing director in such a company or legal entity is jointly and severally liable to pay the monetary penalties imposed on the said company / legal entity.

What do the revised penalty-related regulations provide for?

  • Penalties for late or no filings to the UBO Register have been reduced from €500 to €100 for the first day of non-compliance, followed by €50 (reduced from €100) for each day the company or legal entity is non-compliant.
  • The maximum penalty that may be imposed on a company or legal entity has been reduced from €20,000 to €5,000.
  • Monetary penalties imposed from 1 April 2024 are being recalled and the amounts paid will be reimbursed to the entities concerned.

What are the new powers of the Registrar of Companies?

  • The Registrar of Companies is authorised to issue a Directive, through a Regulatory Administrative Act (RAA), to regulate the procedure for administrative re-examination of, or submission and examination of, an objection against a monetary penalty decision.
  • The Registrar of Companies is authorised to strike-off from the Business Entities Registry a company or legal entity that refuses, omits from, or neglects to comply with its obligations vis-à-vis the UBO Register.
  • The Registrar of Companies is authorised to apply to the Courts for the issuance of an Injunction Order, whereby the Court orders the compliance of any person (natural or legal) with the provisions deriving from the law.

What is the new deadline for compliance with the UBO Register?

  • The deadline to submit beneficial ownership particulars onto the UBO Register has been extended to 31 January 2025.
  • Penalties for non-compliance with the 31 January 2025 deadline will incur penalties commencing from 1 February 2025.
  • The deadline to perform the annual review and confirmation of beneficial ownership particulars for the year 2024 has been extended to 31 March 2025.

How will the reimbursement of paid penalty fees be made?

  • For payments made by JCC (e-commerce platform), the corresponding amount will be reimbursed directly to the card used for payment, without any additional actions needed to be made.
  • For payments made at the cashier desk of the DRCIP, the corresponding amount will be reimbursed to the bank account of the applicant requesting such reimbursement using application form  KE1 (Reimbursement Form), accompanied by  FIMAS Authorisation for Payment and an IBAN Certificate issued in the name of the same entity.

 

If you are a client reader, please liaise with your usual ServPRO contacts for any UBO Register queries you may have; thank you for your trust in our services.

 

What have we published thus far regarding the UBO Register in Cyprus?

Please click on each of the hyperlinked titles below to be directed to ServPRO’s website should you wish to read more about the UBO Register in Cyprus:

You may  visit our website to view all our newsletters. To subscribe,  email us so that we can add your email address to our recipients list to receive all our newsletters and important updates.

You may further access the official  Guidance for the Interim Solution of the Beneficial Ownership Register published by the DRCIP in the English language, which is updated on a frequent basis.

In addition, you may refer to the  Frequently Asked Questions (FAQ) of the DRCIP.

 

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For more information on this topic contact us by telephone (+35722021100) or via email ([email protected]).

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