Local companies promised protection with new legislation

New financial services legislation to be implemented in the British Virgin Islands is expected to provide enhanced protection for local companies.

The revisions aim to strike a balance between meeting regulatory requirements and the challenges encountered by businesses in the BVI. Premier Dr Natalio Wheatley introduced the BVI Business Companies Amendment No. 2 Bill 2024, which is expected to ease the burden on local businesses significantly. The changes come as part of broader efforts to ensure compliance with international financial standards while providing more flexibility for companies to meet their obligations. Premier Wheatley stressed the urgency of the new amendments, noting that it was a crucial step towards adherence to global financial standards. “It is with some urgency that I present the BVI Business Companies Amendment No. 2 Bill 2024, which seeks to further amend the BVI Business Companies Act Revised Edition 2020 in response to ongoing challenges,” he stated.

One key amendment involves Section 98A, which requires all BVI-registered companies to file annual financial returns within nine months of their financial year-end. Premier Wheatley explained, “Failure to comply would trigger serious consequences for the company, such as the risk of being struck off or being unable to obtain a certificate of good standing”. The new mandate aligns with international transparency standards set by the Global Forum on Transparency and the Exchange of Information for Tax Purposes.