As of 1st January 2018 all Maltese foundations have a new obligation: identifying, recording and reporting their beneficial owners to the Registrar of Legal Persons. A right of access to such new information will also come about.
IDENTIFICATION, RECORDING AND REPORTING
Which entities must comply
The Regulation applies to all foundations established:
What and how to disclose
Every foundation is to keep the following information in an internal register, as well as keep records of anychanges thereto: name; date of birth; nationality; country of residence; an official identification documentnumber indicating the type of document and the country of issue; the role of the beneficial owner in relationto the foundation; the nature and extent of the benefit and any changes thereto; and the effective date onwhich a natural person became, or ceased to be, a beneficial owner of the foundation.
A declaration, signed by two administrators containing the information on the beneficial owners should besubmitted together with the registration documents to the Registry of Legal Persons.
In case of any change in a beneficial ownership, a foundation has 14 days to deliver to the Registrar of LegalPersons a notice of such change in a prescribed form.
When to record and report
The Regulation came into force on 1st January 2018.
Foundations which have been established or registered prior or after to 1st of January 2018 will have tosubmit a declaration to the Registry of Legal Persons containing information on the beneficial owners by the30th June 2019. Same exemption applies to a foundation which is to be established and registered under theSecond Schedule of the Civil Code, Chapter 16 of the laws of Malta.
Penalties for non-compliance by entities can reach €500 while providing misleading, false or deceptive in amaterial particular constitutes an offence liable on conviction to a fine of up to €5,000 or to imprisonmentup to 6 months, or both.
As of 1st January 2018 access to the above will be granted to a number of persons as follows:
Exception to access only apply:
Can you make it on your own or do you need help?
At KPMG we have a dedicated team of professionals who can help with an efficient management of the overall processes to ensure clients are fully compliant with the new requirements, including:
Our Core Annual Service looks to assist clients with the routine corporate matters their entities face each year, including ongoing maintenance of corporate registers, which will include preparing and keeping the ‘UBO Register’ duly updated.
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