From July 11 - disclosure of information on the ownership structure of Ukrainian legal entities
In 2020 with the adoption of the new law of Ukraine on the prevention and legalization (laundering) of incomes, almost all Ukrainian legal entities were required to regularly provide and update information on the ultimate beneficial owners in the Ukrainian state register of legal entities. However, this requirement remained inactive, since the ownership structure - a document that must be provided to the registrar as part of updating information about the beneficiary - was not approved.
Now, the Ministry of Finance signed an order approving the form and content of the ownership structure, which comes into force on July 11, 2021.
By October 10 (inclusive), Ukrainian legal entities must submit documents to the state registrar to update the beneficiary information in the Ukrainian state register of legal entities.
Among the required documents is the ownership structure, which should schematically image all the persons who directly or indirectly own or control the Ukrainian legal entity (independently or jointly with other persons). Structure is drawn up in Ukrainian language and shall be signed by director of Ukrainian legal entity.
Regarding foreign companies, trusts and other similar legal formations that are present in the ownership structure, official documents confirming the ownership of Ukrainian legal entity shall be submitted. It may also be required to provide documentary evidence of the decisive influence of the beneficiary.
Failure to provide information about the beneficiary may result in:
- administrative responsibility - a fine in the amount of UAH 17,000 to UAH 51,000 for director of Ukrainian legal entity;
- criminal liability under - for providing the registrar with knowingly false information - a fine of 85,000 to 136,000 UAH or arrest for a period of 3 to 6 months, or imprisonment for up to three years.
How we can be useful:
- we develop the ownership structure in accordance with the requirements of the Ministry of Finance and state register;
- we help to form a package of documents for updating the data on the beneficiary;
- we provide information to the state register and accompany the registration action.
Do not hesitate to contact us. We will be glad to be of service to your business.