USA implements UBO regulation

2 March 2021 - As of 1 January, 2021 the US authorities implemented Corporate Transparency Act (CTA) establishing beneficial ownership reporting requirements.

Key points to note:

• The registration applies to all types of entities, except for (i) publicly traded companies, (ii) companies operating under governmental schemes and (iii) entities that fulfil a number of other conditions;
• Any individual holding 25 % or more of ownership interest fall within the scope of UBO;
• In the event of non-compliance, companies could be penalised 500 USD per day or even lead to criminal liability;
• The due date for the registration of UBO and the procedure are expected to be clarified by 1 January, 2022.