What is this about?
The Costa Rican government issued a new legislation, which requires the shareholders or beneficial owners of any Costa Rican corporation or foreign company registered in Costa Rica to submit a declaration delivering personal information of the shareholders and final beneficiaries (individuals).
How do you submit this declaration?
This Regulation requires from Costa Rican Corporations (S.A. – LLC) and Private Trusts to submit a declaration delivering personal information of the shareholders and final beneficiaries (individuals).
It must be submitted before the Costa Rican Central Bank Registry (BCCR) through the BCCR online platform through a digital signature. The legal representatives of the corporate entities must have a valid digital signature (Firma Digital) card in order to submit the declaration. The digital signature is a card issued by the Costa Rica Central Bank or through authorized Costa Rican banks. The digital signature is only available for Costa Rican citizens or foreigners that have residency and a valid DIMEX card.
When does the Obligation to submit the Declaration Begin?
On September 1st, 2019 according to the following schedule based on the last digit number of your corporation identification number (cédula jurídica)
- Corporations with last digit ending in 0-1: September 2019
- Corporations with last digit ending in 2-3: October 2019
- Corporations with last digit ending in 4-5: November 2019
- Corporations with last digit ending in 6-7: December 2019
- Corporations with last digit ending in 8-9 January 2019
What information needs to be completed in the declaration form?
1.For Corporations (S.A.-LLC):
Name, address and ID of shareholders and final beneficiaries
Capital stock and share distribution
2. Private Trusts:
Purpose and nature of the Trust
Name and ID of Settler
Name and ID of Beneficiaries
Name and ID of Trustee
The law requires that the form be filed by the legal representatives of the corporations as follows:
- For S.A.: The President
- For LLC: The Manager
- For Trusts: The Trustee
How often do you have to file the declaration?
The form must be filed on a yearly basis starting on April 2020. The frame for submittal is fromApril 1st through April 30th of every year. However, if anytime during the year a single person or other entity becomes owner of more than 15% of the capital stock of the corporation, they must report that within 15 days of the acquisition.
What are the Penalties for Not Filing?
Obliged subjects who have not submit the declaration as of January 31, 2020 will be considered as non-compliers.
The applicable penalties are those established in Article 82 bis of the Tax Procedural Code which indicates that the fine would equal to Penalty fee of 2% of the Corporation yearly gross income if company has commercial activity.
National Public Registry will block all registry services for each Corporation transactions, such property register, vehicles register, etc.
How can we assist you?
We can handle this process for you accordingly to Ordinance N° 41040 -H. Please check below for options:
1. If you are in Costa Rica, we will need you to:
Grant us notarized POA
2. If you are abroad, we will need you to:
Grant us POA throughout a shareholder’s assembly
3. If your Corporation books are not in Costa Rica please e-mail for further instructions.
LAW XPERTS can handle this sensitive matter with the needed responsibility, accuracy and absolute professionalism that you require, please email for further inquiries.