Seychelles International Business Companies (Amendment) Act 2021
The Seychelles Government has recently enacted the International Business Companies (Amendment) Act 2021 effective from August 2021.
Summarizing some key points below: -
- Every company on the Register is required to submit and keep its accounting records at the company’s registered office in the Seychelles on a bi-annual basis
- Annual financial summary required for large companies and non-large non-holding companies
The accounting records need to be kept in either original form or electronic form. If a legal entity’s original accounting records are kept at a place other than in Seychelles, the legal entity must inform its Registered Agent in writing of the physical address of that place, according to section 175 (2) (2A) of the Act. It is important to note that the Seychelles’ authorities maintain the right to request for the original records. While the accounting records are required to be kept at the registered office in Seychelles, they are not required to be filed with the Registrar and are not open to public inspection.
With effect from February 2022, the Registrar expects to initiate its on-site compliance inspections to ensure that reliable accounting records are being kept by legal entities in Seychelles, and where non-compliance is identified, relevant sanctions will be applied.
An entity that contravenes section 175 of the Act (the “Section”) shall be liable to a penalty fee not exceeding US$10,000; a director who knowingly permits a contravention under the Section shall be liable to a penalty fee not exceeding US$10,000, according to sections 175 (5) and (6) of the Act.
For the amendment act details, please click the link at:
International Business Companies (Amendment) Act, 2021 (or Amendment Act).
The Amendment Act includes new accounting record obligations applicable to entities registered in Seychelles, for details please click: New Accounting Record Obligations