Make sure you are PSC Register Ready

From 6th April 2016, all UK private companies and LLPs will be required to keep a PSC (Person of Significant Control) Register. A PSC is an individual or legal entity who, or which, have significant control over a company and have ownership of more than 25% of a company’s shares.

This new legislation will require you to; identify all PSC’s, record the PSC’s details and keep them up to date, make the register available for public inspection and provide all this information to Companies House.

The PSC register has been introduced under the Small Business, Enterprise and Employment Act 2015 in order to improve transparency and help combat tax evasion, money laundering and terrorist financing. The EU has also introduced similar measures in the Fourth Money Laundering Directive which will be implemented by all member states by June 2017.

PSC registers will need to be kept up to date, and failure to maintain them will be a criminal offence punishable with a fine or up to 2 years imprisonment. Therefore, it is important for all companies in question to take action now in order to avoid penalties later.

There have been many hands on deck helping to provide guidance for companies looking to get their head around the PSC Register, and the BIS (Department for Business, Innovation and Skills) and ISCA (Institute of Chartered Secretaries and Administrators) have worked together to publish a useful guidance document.

We recommend that those having to comply with this new requirement take the time to read this document and become familiar with the process of identifying and recording PSC’s. The BIS have also published a number of other documents containing information for companies about PSC’s, for example addressing people’s understanding of the meaning of ‘significant influence or control’.

Furthermore, if you use an accountant to assist you with your corporate filing requirements we recommend that you contact them to ensure you are ready for the new regime.

You can access the PSC Guidance Documents here-https://www.icsa.org.uk/assets/files/pdfs/Policy/PSC-Draft-Guidance-for-companies-17-December-2015.pdf

http://www.step.org/sites/default/files/Policy/PSC-register-Draft-Statutory-Guidance-3-December-2015.pdf