Since the end of March 2017, the draft bill for a UBO register has been public. This represents a tightening of the current registration requirements with the Chamber of Commerce. The Directive must be transposed into national law by 26 June 2017 at the latest.
What is the UBO register?
The abbreviation UBO stands for ‘Ultimate Beneficial Owner’. This is the person who is the ultimate beneficiary of a legal entity, such as a company, foundation or trust. For example, in the case of a company, the register records the persons who ultimately hold more than 25% of the shares.
What information is included in the register?
The register will display the following information:
- name, date of birth, place of birth, country of birth;
- address;
- BSN or a foreign tax number;
- documents proving identity;
- documents showing why a person is a UBO;
- documents demonstrating the nature and extent of the economic interest.
What is the purpose of the register?
The plan to extend registration with the Chamber of Commerce stems from the 4th European Anti-Money Laundering Directive. The aim of this directive is to combat tax evasion, the financing of terrorism and money laundering. The register reveals who is behind the entity, which facilitates investigations into malpractice.
A lot of resistance
The announcement of the plans for the UBO register has met with considerable opposition from various quarters. According to the Royal Notarial Professional Organisation (KNB), the register would offer no added value compared with the existing register. Furthermore, personal data and the country of residence of individuals can be accessed from the register for a small fee. According to employers’ and business organisations, it would actually play into the hands of burglars, kidnappers and terrorists.
Online consultation until 28 April
Comments on the draft legislation can be submitted via an online consultation until 28 April 2017. The Directive must be transposed into national law by 26 June 2017 at the latest. We are keeping a close eye on developments for you.