Jul 11, 2022
The federal government has taken its first steps towards creating a national database – known as a beneficial ownership registry – in legislation passed by Parliament on June 23. Ottawa wants to publicize ownership data to inhibit money laundering, corruption and tax evasion. For this central registry to be effective, it will be essential to include corporate provincial data, Osler’s Malcolm Aboud, counsel, Litigation, told Bloomberg Tax in an interview.
“If you have beneficial ownership over some types of vehicles but not others, it will be significantly limiting to the goals of the legislation,” says Malcolm.
The government has pledged to have the national registry in place by 2023. Malcolm says that, while companies are already required to keep information on beneficial ownership, the new bill allows the government to collect and disclose that data.
Malcolm also told Bloomberg Tax that the new obligations will put a greater organizational burden on corporations. Another concern is the information the government decides to make public, since companies have an interest in keeping their structures confidential.
If you have a subscription to Bloomberg Tax you can read the full article by author James Munson posted on July 11, 2022