In a country like Italy of small and medium-sized companies, this is a deadline of interest to many. By 11 December 2023, all corporations, registered associations, foundations and trusts will have to disclose their beneficial owner.

Why this novelty? To help make the economic system more transparent, combating the reuse of earnings from criminal activities, i.e. essentially money laundering.

Who is the beneficial owner? In simple terms, it is the person who makes the company's decisions. Obviously, there are different ways of identifying him, depending on the type of company, although normally it is the majority shareholder.

How it is done: the consultants cannot do it, but it is the companies themselves, that must notify the Chamber of Commerce.

And then? This register of beneficial owners will be available for consultation by those required to comply with anti-money laundering legislation (professionals, credit institutions, insurance companies) and by the authorities.

New companies will have to provide for this notice within 30 days of their incorporation, but both existing and new companies will have to update the notice in the event of company changes affecting the beneficial owner.

It is thus advisable to comply in a timely manner, also because there are penalties of up to EUR 1,032, which will be imposed on every person required to make the disclosure, e.g. all members of a board of directors.

Finally, a note for lawyers, accountants and other professionals: when taking on an engagement, care must be taken, if the information available in the register is different from that acquired from the client. There is an express obligation to report such discrepancies.

We hope that this new legislation will contribute to a better economic environment for the benefit of all.

last update december 2023