Ordinarily, businesses and non-profits have until the end of August to declare every natural person who ultimately owns or controls a legal entity by applying to the Register of Beneficial Owners (RBE). Where this has not been declared, businesses and non-profits risk sanctions ranging from €1,250 to €1,250,000. If no natural person holds more than 25% of shares or the legal power of a business, the administrator must be named on the register.
Despite a number of reminders and media campaigns, the current number of applicants is fewer than half the 130,000 businesses registered in the country. Given this figure, the Luxembourg Business Registers has extended the deadline to 30 November 2019, given those entities that have yet to apply an additional three months to do so, free of charge.
Beneficial owners: Many associations have not been heeding their reporting dutiesThe new register is one of many instruments introduced to fight money laundering and terrorism funding.
