SWITZERLAND AND BEARER SHARE ABOLITION

On 4th November, Bihrer Attorneys at Law published an article saying that, on 1st November, the new Federal Act on the Implementation of Recommendations of the Global Forum on Transparency and Exchange of Information for Tax Purposes came into force.  The article points out that reporting duties for bearer shares were introduced in 2015, but that the new Act goes even further and, with a few exceptions, results in the complete abolition of bearer shares.  The article sets out to provide a brief overview of the consequences of the new law and show the need for action that arises for companies and shareholders.  Bearer shares are only permitted if the company has listed equity securities on a stock exchange or has structured bearer shares as book-entry securities. If a company wishes to retain existing bearer shares, it must fulfil one of these conditions within 18 months of the new law coming into force, i.e. by 30th April 2021, and arrange for an entry in the commercial register to be made stating which condition the company fulfils.  All companies that do not meet these requirements must convert their bearer shares into registered shares by 30th April 2021, or else they will be converted by law on 1st May 2021.

https://www.lexology.com/library/detail.aspx?g=a6b478b5-acde-4099-bb15-72df1be7e738

This blog is primarily for my own use, to keep informed and up to date. However, if you would like to say thank you (and perhaps help me get a new, better laptop when I am away…) you can “buy me a coffee” at https://www.buymeacoffee.com/KoIvM842y

Author: raytodd2017

Chartered Legal Executive and former senior manager with Isle of Man Customs and Excise, where I was (amongst other things) Sanctions Officer (for UN/EU sanctions), Export Licensing Officer and Manager of the Legal-Library & Collectorate Support Section

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out /  Change )

Google photo

You are commenting using your Google account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )

Connecting to %s