Understanding the New Beneficial Ownership Regime in BVI
In a landmark move to ensure compliance with international standards, the British Virgin Islands Financial Services Commission (BVI FSC) has announced the introduction of its Beneficial Ownership Regime. Starting January 2, 2025, the Commission will maintain beneficial ownership registers for all BVI Business Companies and Limited Partnerships.
This initiative underscores the BVI’s commitment to maintaining accurate and transparent records of ownership, aligning with global best practices.
What is the Beneficial Ownership Regime?
The Beneficial Ownership Regime mandates that information regarding beneficial ownership must be filed with the Registry of Corporate Affairs. Leveraging the Commission’s VIRRGIN platform, this shift ensures that beneficial ownership data is held by a public authority for enhanced security and regulatory oversight.
Key highlights include:
- Filing through VIRRGIN: A streamlined, secure digital process.
- No-cost filing period: Existing entities can file without fees until July 2, 2025.
- New Beneficial Ownership Unit: A specialized team will handle transactions and ensure accuracy.
Why Does This Matter?
According to Kenneth Baker, Managing Director and CEO of the BVI FSC, collaboration with stakeholders is critical. The new system enhances transparency, fosters trust in the Territory’s financial ecosystem, and ensures compliance with international regulations.
At the Meet the Regulator Forum, key details were shared, including:
- An overview of the legislative framework.
- How filings and transactions will be managed in the VIRRGIN system.
- Security mechanisms for safeguarding data integrity.
What’s Next?
The BVI FSC is set to release comprehensive guidance for stakeholders, including FAQs and step-by-step procedural instructions. Professionals and entities are encouraged to stay updated through the Commission’s website or by reaching out to the Beneficial Ownership Unit at bo@bvifsc.vg. However, the BVI has yet to clarify the full extent of public access to beneficial ownership information. While it announced in December 2023 that the register would not be fully accessible, it will instead implement a legitimate interest test to determine when and how information will be disclosed.
Contact us for more help with understanding and complying with the new Beneficial Ownership Regime. We are here to guide you through the process!
