New Compliance Requirements for Companies and LLPs
New compliance requirements for Companies and LLPs
MacPhee & Partners wish to highlight that, since 6 April 2016, companies and limited liability partnerships (LLPs) now have an obligation to (1) take “all reasonable steps” to identify any “person with significant control” (“PSC”) over them and (2) record this in a register of persons with significant control (“PSC Register”) which should be added to the Company’s existing statutory registers. From 30 June 2016 information regarding those persons who constitute a PSC must also be filed with Companies House as part of the annual Confirmation Statement process.
The following persons will need to be detailed within the PSC Register:-
- Persons who, directly or indirectly;
- hold more than 25% of the nominal share capital of the company;
- control more than 25% of the general meeting votes;
- have the ability to control the appointment of removal of the majority of board members;
- Persons who have the right to exercise significant influence or control over the company;
- Persons who have the right to exercise significant control over any trust or firm who in turn has significant control over the company.
The creation and maintenance of a PSC Register is mandatory; even if there are no individuals who constitute a PSC the PSC Register must state that is the case. The PSC will in most cases be an individual but in cases where your company or LLP is owned or controlled by another legal entity the details of this must be recorded on the PSC Register if this is relevant and registrable in relation to your organisation.
Please contact Isabella MacRitchie, a member of our Commercial Team, on 01397 701000/01631 562308 and firstname.lastname@example.org for further information.