New sanctions for registration of beneficial owners (No. 1013)

From June 1, 2021, significant changes will take place in the legal regulation of the register of beneficial owners, which was introduced into the Czech legal system in 2017. The thing is that the new act No. 37/2021 Coll., On the Register of Beneficial Owners will enter into force.

Compared to the current legislation, a significant difference is the introduction of direct sanctions for a failure to comply with the obligations laid down by law, especially if no real owner is entered to the register. In such a case, a fine of up to CZK 500,000 may be inflicted on a legal entity or trust fund.

A noticeable consequence of not registering the real owner with business corporations is, for example, a ban on the payment of a share in profits or dividend to this real owner or the exclusion of the voting rights of such owner at the general meeting.

Do not delay needlessly the fulfillment of this statutory obligation. We will be happy to provide you with consultations through the associated law office KODAP legal s.r.o., which can carry out the entire registration process with you.

publikováno 21.04.2021