From CompliNEWS | Financial Service Intelligence Watch
SA businesses face deregistration risk as CIPC compliance deadline looms
South African business owners are facing a critical compliance deadline set by the Companies and Intellectual Property Commission (CIPC). By 30 November 2024, companies are required to register their beneficial ownership information, reports BusinessTech. Failure to meet this requirement may result in severe consequences, including the inability to trade and potential deregistration. This mandate aims to enhance transparency and combat illicit financial activities by ensuring that the identities of individuals who ultimately own or control companies are disclosed.
InfoDocs, a service provider assisting over 90 000 firms, has underscored the importance of adhering to these regulations. Non-compliance not only jeopardises a company’s legal standing but also its operational capabilities. The CIPC’s recent annual report indicates that over 650 000 businesses have already been deregistered, primarily due to failures in submitting annual returns.
To comply, companies should promptly submit their beneficial ownership details to the CIPC before the 30 November 2024 deadline. This process involves identifying and reporting individuals who hold significant ownership or control over the company. Timely compliance will help businesses avoid disruptions and maintain their good standing within South Africa’s regulatory framework.