There is an important update regarding BVI companies. This requirement has already been introduced on other jurisdictions like Seychelles in the past. The BVI Mutual Legal Assistance (Tax Matters) (Amendment) Act, 2012, published in the Official Gazette on November 26, 2012, establishes that it is mandatory for all BVI companies to keep reliable accounting records. What can be considered reliable accounting records? reliable accounting records are all company records documents that include sufficient information to explain the company’s transactions and determine the financial position of the company with reasonable accuracy. The Amendment Act also specifies that accounting records shall be kept for a minimum of five years from the date of transactions. [Section 5A (b)]. Each registered agent must keep a written record of the physical address of the place where the accounting records of its companies are kept, signed by companies beneficiaries. There are penalties that will be imposed to non compliant companies. In addition to this companies that do not fulfill this requirement cannot be considered compliant to the law for local purposes and for international business purposes.
