Further to our previous alert issued on 22 February 2021, the e-registration system for beneficial owners (the “BO Register“) is a reality from 16 March 2021. Cyprus Entities will now have to register and submit the BO information electronically through the interim solution.
Cyprus Entities are obliged to identify and record electronically in the BO Register all relevant information of the beneficial owners who own or control them and ensure they keep the BO register updated at all times. The responsibility for the submission of the information lies with the Entity and its officials who will be fined €200 for failure to submit accurate information and €100 per day of delay up to a maximum of €20,000.
Cyprus Entities
Cyprus Entities for the purposes of the Directive are considered:
- Companies incorporated or registered under the Companies Law Cap.113,
- European Public limited liability Companies
The Directive does not apply to the following companies:
- Company listed on a regulated market that is subject to disclosure requirements consistent with Union law
- Companies whose directors submitted an application for strike off pursuant to Article 327 (2A) (a) of the Companies Law, prior to the commencement of the Directive,
- Companies whose liquidation has been enacted before the commencement of the Directive,
- Overseas companies
Timing
A grace period of 6 months starting from 16 March 2021 will be given to all existing entities to submit the BO information in the system. Entities incorporated after 16 March 2021 must file electronically all information within 30 days. Changes to the BO information have to be filed within 14 days.
Additionally, Cyprus Entities are required to confirm electronically the BO information recorded in the BO register in December each year. This is an additional functionality that will become available later in the year with the implementation of the final system solution.
Access to the e-registration system
The e-registration system is available through the e-filing system of the Registrar and Cyprus Entities will have to use their Ariadni government portal login details to access the system. Registration to the Ariadni portal is a two step process where companies obtain the identification codes through Ariadni portal and then authenticate their company profile at authorized centers.
Access to the information
In the first 6 months unrestricted access to the information in the BO Register will only be available to certain government organisations such as the FIUs, Customs Department, the Tax Department and the Police. Subsequently the information will become available to the general public following payment of €3,50.
