Cayman Islands Funds Update: Q4 2020 (Portuguese)

Atualização referente a área de Fundos das Ilhas Cayman: T4 2020

Não obstante o início de 2020 ter sido marcado por uma grande quantidade de novas regulamentações nas Ilhas Cayman, o número de modificações a leis e regulamentos que impactam ou podem impactar os fundos constituídos no país foi significativamente menor no último trimestre de 2020 do que o verificado nos trimestres anteriores. Especificamente, os órgãos reguladores e autoridades competentes focaram em receber esclarecimentos e refinamentos aos regimes existentes, o que continuou a ocorrer em janeiro de 2021. Este briefing tem por objetivo destacar os referidos pontos, bem como sinalizar as últimas modificações relacionadas a prazos de compliance publicados em 22 de janeiro de 2021.

Principais Alterações

Novo Portal DITC aberto somente para envio do FATCA e extensão do prazo para envio do Formulário de Compliance CRS.

O Departamento de Cooperação Tributária Internacional (Department for International Tax Cooperation - DITC) indicou que, a partir de 17 de dezembro de 2020, o relatório CRS seria desativado no novo portal de registro e reporte (Portal DITC).  Não espera-se que a ferramenta para envio do relatório CRS seja reativado antes de março de 2021.

Tendo em vista que algumas instituições financeiras não tiverem tempo hábil para terminar o registro até o prazo de 16 de dezembro de 2020, o DITC confirmou que nenhuma sanção administrativa seria aplicada automaticamente. No entanto, há margem para que sanções administrativas sejam impostas em algumas circunstâncias de default. O DITC ainda indicou que os usuários ainda serão capazes de registrar novas entidades no Portal DITC, completar inúmeras atualizações, tais como principal ponto de contato para alterações e emissão de novo Formulário de Compliance CRS, e envio do relatório FATCA. O prazo para enviar o Formulário de Compliance CRS referente ao ano de 2019 foi estendido para 15 de setembro de 2021 (o qual irá coincidir com o prazo para reportar o ano de 2020).

Notificação e Reporte de Substância Econômica

O DITC divulgou o formulário referente à declaração de substância econômica (ESR) a ser submetido por sociedades (Entidades Relevantes) que conduzem atividades relevantes (tais como administração de fundos ou holding companies) durante o primeiro período de reporte econômico iniciado em 2019. Os prazos para submeter os ESRs foram estendidos conforme indicado abaixo.

O Portal DITC abriu em 26 de janeiro de 2021 para submissão dos ESRs para que as Entidades Relevantes que possuem residência fiscal fora das Ilhas Cayman possam submeter os arquivos apropriados. 

Fundos de investimento estão excluídos da definição de Entidades Relevantes e, portanto, não há qualquer exigência para que estas entidades submetam o ESR.

No entanto, todas as entidades societárias de Cayman, incluindo fundos de investimento, devem submeter (por meio de seu respectivo serviço de agente registrado), a notificação anual de substância econômica, confirmando, além de outras coisas, se eram ou não Entidades Relevantes durante o período de reporte econômico iniciado em 2020. Esse é um pré-requisito para submeter a declaração anual das demonstrações financeiras auditadas da companhia.

Atualização do formulário FAR

A Autoridade Monetária das Ilhas Cayman (CIMA) emitiu um formulário atualizado da declaração anual das demonstrações financeiras auditadas (FAR) refletindo os requerimentos introduzidos pelas declarações anuais de fundo de investimento, conforme alteração da regulamentação de 2020.  Qualquer fundo de investimento cujo exercício financeiro terminou até ou depois 30 de junho de 2020 deve atualizar o formulário FAR.

Fundos privados registrados perante a Lei de Fundos Privados (Revisada) terão um formulário FAR diferente. No entanto, esse ponto ainda encontra-se em discussão e ainda não foi publicado pela CIMA.

Prazo para envio da  declaração anual das demonstrações financeiras auditadas e pagamento da anuidade

O prazo para as sociedades anônimas e limitadas apresentarem a sua declaração anual das demonstrações financeiras auditadas e pagarem a respectiva anuidade terminou em 31 de janeiro de 2021.  A declaração anual das demonstrações financeiras auditadas para sociedades anônimas e limitadas isentas, atualmente requer confirmação referente à natureza dos negócios da companhia, a qual precisa ser confirmada por meio de uma lista pré aprovada pelo serviço de agente registrado anteriormente ao fim do prazo para sua submissão.

New DITC Portal open for FATCA reporting only and CRS Compliance Form deadline extended

With effect from 17 December 2020, CRS Reporting has been disabled on the new DITC Portal in order to facilitate upgrades to CRS Reporting functionality.  CRS Reporting is not expected to be re-enabled until March 2021.  The closure of the DITC Portal for CRS Reporting reflects the 16 December 2020 deadline for the submission of CRS Returns for the 2019 Reporting Period.  The DITC has indicated that, where financial institutions (FIs) were unable to login and complete reporting prior to the deadline, such FIs will not be automatically issued an administrative penalty.  This reflects certain technical issues experienced by some FIs in the days immediately prior to the deadline and the DITC has therefore retained the discretion to impose administrative penalties in certain circumstances which may include, for example, where there has been no apparent attempt on the part of a given FI to comply with the filing obligations.  Further, any FI which was not able to complete its filing by the 16 December 2020 deadline, will be expected to submit a CRS Return for the 2019 Reporting Period by a date to be specified by the DITC once the DITC Portal has been re-opened for CRS Reporting.

The DITC has also clarified that users are still be able to register new FIs on the DITC Portal, complete various updates such as complete AP/PPoC/Secondary User updates, submit the new CRS Compliance Form, and submit FATCA Returns.

In January, the DITC confirmed that it has extended the deadline to submit the CRS Compliance Form for the 2019 Reporting Period to 15 September 2021.  This will mean that such deadline with coincide with the deadline for the submission of the CRS Compliance Form for the 2020 Reporting Period (ie filings in respect of two Reporting Periods will be due concurrently).

All FIs registered on the old AEOI portal (AEOI Portal) should have received an activation email for the new DITC Portal. The activation emails were sent from no-reply@ditc.ky. Any FI which has not received an email should check that it has not been blocked by IT screening.  It is also possible to select the 'Forgotten Password' link on the new DITC Portal login page to request a new activation email.

Any FI previously registered on the AEOI Portal but which had been dissolved or wound up by the new DITC Portal launch date has not been migrated and therefore will not be visible (or able to be re-registered) on the new DITC Portal. The DITC has indicated that it is aware that such FIs would have been unable to submit any reporting or correct any errors since October 2019 as the AEOI Portal was offline. Given these FIs have not been migrated to the new DITC Portal, they will not be expected to complete any outstanding actions which were due during this time and the DITC will not enforce any penalties for the same.

For further updates and success to the DITC Portal please see the DITC webpage.

Economic Substance notification and reporting

The DITC has released on the resources page of its website the form of economic substance return (ESR) to be filed by Relevant Entities conducting relevant activities (such as fund management business or holding company business) during the first economic substance reporting period commencing in 2019. 

The DITC Portal opened on 26 January 2021 for the filing of ESRs and for Relevant Entities which are tax resident outside the Cayman Islands to make the appropriate filings.

The deadlines to submit ESRs have been extended for this year only as follows:

  Intellectual Property Business All other Relevant Activities Tax resident outside the Cayman Islands
Where relevant financial year commenced on any date between 1 January 2019 to 1 March 2019 28 February 2021 30 April 2021 28 February 2021
Where relevant financial year commenced on any date between 2 March 2019 to 1 May 2019 12 months after the end of the relevant financial year 30 April 2021 12 months after the end of the relevant financial year
Where relevant financial year commenced on any date in 2019 but after 2 May 2019 12 months after the end of the relevant financial year 12 months after the end of the relevant financial year 12 months after the end of the relevant financial year

 

Investment funds are generally excluded from the definition of Relevant Entities and therefore there is no requirement for such entities to submit an ESR.

All Cayman corporate entities, including investment funds, are however required to submit the 2020 annual economic substance notification (ESN) confirming certain prescribed information including whether the entity is a Relevant Entity and, if so (or if it is claiming tax residency outside the Cayman Islands), whether it is carrying on any Relevant Activity.  This is a prerequisite to filing the annual return with the Cayman Registrar of Companies or Limited Liability Companies (Registrar) and filing of the ESN is made by the entity's registered office provider with the Registrar for onward submission to the DITC. The deadline for submission of 2020 ESNs is 31 January 2021. 

The DITC has also opened the submission window for 2021 ESNs to facilitate filings by entities who wish to file their ESNs in advance of dissolving / winding up during the forthcoming financial year.  All entities dissolving/winding up in 2021 should ensure that a 2021 ESN is submitted as part of that process to avoid difficulties with subsequent obligations.

Updated FAR Form issued

The Mutual Fund (Annual Return)(Amendment) Regulations 2020 which came into force last year require increased information to be submitted in a mutual fund's FAR to CIMA.  This is a further initiative intended to bolster Cayman's regulatory framework in response the Caribbean Action Financial Task Force's review of Cayman's AML/CFT/CPT regime.  The regulations will improve the data collected from each regulated mutual fund by CIMA and will enable CIMA to enhance its regulatory oversight of the financial services sector.  CIMA has recently published a revised FAR Form in line with the new Regulations (FAR Form 4.0).

Mutual funds with a year-end date prior to 30 June 2020 may have already filed the previous version of the FAR Form with CIMA and CIMA has confirmed that they may continue to submit this version of the FAR.  However, from 31 March 2021 the CIMA REEFS system will only accept FAR Form 4.0 and not the prior version. Further, CIMA have confirmed that mutual funds  with a financial year end of 30 June 2020 or later must use FAR Form 4.0.

Deadline to file annual return and pay annual fees

The deadline to file annual returns and pay the registrar of Companies/Partnerships/LLCs annual fee is 31 January 2021.  Entities should confirm that their registered service provider is in funds to pay this as soon as the invoice is received. In addition, changes to the Companies Act (Revised) at the end of 2020 now require the annual return of every exempted company and LLC to contain details of the 'nature of business' of the company from a prescribed list of activities (examples include regulated mutual fund or registered private fund), together with details of the entity's year-end.  This should be confirmed with the registered office provider in advance of submission of the return.  As mentioned above, the registered office provider will also be required to submit the 2020 ESN as a prerequisite to making the annual return filing and entities should ensure that their registered office provider has appropriate authority to make the ESN on the entity's behalf.

Please contact your usual Ogier attorney or any of the contacts listed for advice concerning any of the above matters.

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Disclaimer

This client briefing has been prepared for clients and professional associates of Ogier. The information and expressions of opinion which it contains are not intended to be a comprehensive study or to provide legal advice and should not be treated as a substitute for specific advice concerning individual situations.

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