From July 1, businesses in St. Maarten that fail to register their Ultimate Beneficial Owner (UBO) could face fines (see WEEKender) of up to 50,000 Caribbean Guilders. The Chamber of Commerce and Industry (COCI) recently announced it would start enforcing the requirement.
The impression exists that many employers may not yet have been able to comply, also considering the need to file annual taxes during this same period. As reported in the Friday/Saturday edition, Curaçao has just moved its related deadline to September 30 probably for similar reasons.
The explanation provided by HBN Law & Tax in the WEEKender seems simple enough. It also says that once the information is submitted before Tuesday no penalties will be issued.
Today, Monday is thus the last chance to date to avoid such. It seems doubtful at best, however, that all legal entities involved will still manage this.
Perhaps a last-minute temporary reprieve like in Curaçao can be considered under the circumstances, or at least a grace period regarding fines, preferably for a similar period of about three months. The latter would allow for more publicity and promoting awareness.
Make no mistake, this is an important matter to honour international standards in the fight against money-laundering and financing of terrorism set by the Financial Action Task Force (FATF). Nevertheless, when establishing new rules and obligations, enough attention should always be given to facilitating those who need to meet them.
