Under lockdown, company compliance is more important – and complicated – than ever.
The introduction of http://www.bizportal.gov.za/ – a new platform developed by the Companies and Intellectual Property Commission (CIPC) – is intended to improve the ease of doing business in South Africa by making it possible for companies to attend to all CIPC matters in a “simple, seamless, digital, completely paperless way.”
Sounds simple, right?
When you take on the role of Company Director, you undertake to comply with a number of regulatory requirements. Failure to do so will result in severe penalties being imposed. If you don’t have an in-depth knowledge of the Companies Act No. 71 of 2008, best brush up now.
In the past, company compliance-focused mainly on matters pertaining to SARS and taxation. But over the past two years, CIPC has introduced new requirements that must be met before a company can file its Annual Return. These are:
- Completing a Compliance Checklist.
- Filing either Annual Financial Statements or a Financial Accountability Supplement with the CIPC.
Failure to file your Annual Returns for more than two consecutive years will result in the CIPC placing your company under Final Deregistration. When this happens – assuming your company owns assets such as fixed property – the company will need to be reinstated. A costly and time-consuming process that should be avoided at all costs.
South Africa is currently in “Lockdown” and facing unprecedented challenges going forward. Directors / Companies may need to restructure their holdings to take advantage of opportunities that present themselves. It is now more crucial than ever for companies to remain compliant with all regulatory authorities, as unnecessary delays resulting from compliance issues could prove very costly. We’ve already seen this with one of our clients who was unable to obtain tax clearance to remit funds offshore as the company he was a Director of had compliance issues.
At Sentinel International Advisory Services, we have compliance officers who can ensure your company remains compliant for an agreed fee. These services include but are not limited to:
- Tax and accounting
- Completing annual Filing Returns on CIPC
- Drafting of Resolutions
- Drafting minutes for Annual General Meeting of the Board of Directors
- Issuing Share Certificates and updating Share Registers
- All other company secretarial work.
If you think your business might benefit from this service, please contact us on 011 656 2722, or 021 674 0390