Peru Issues Procedure for Disclosing Ultimate Beneficial Ownership of Entities

The Peruvian Tax Authority has issued Resolution 185-2019/SUNAT, which establishes the procedure for disclosing the ultimate beneficial ownership of entities in Peru. This requirement was first introduced by Legislative Decree 1372 in August 2018.

Definition of Beneficial Owner

According to the regulations, an individual is deemed a beneficial owner if they hold at least 10% of an entity’s capital. The Peruvian Tax Authority had previously issued Supreme Decree 003-2019-EF, which implemented the provisions of Legislative Decree 1372 and went into effect on January 1, 2019. However, the decree did not specify the procedure for complying with the disclosure requirement.

Procedure for Disclosure

Resolution 185-2019/SUNAT requires principal taxpayers to disclose their ultimate beneficial owners on Virtual Form 3800 in December 2019. The due date will be determined by the last digit of the entity’s taxpayer identification number. Entities that are not considered principal taxpayers will file Virtual Form 3800 according to a schedule to be published by the Peruvian Tax Authority.

Responsibilities of Public Notaries

Public notaries must certify whether Virtual Form 3800 has been duly filed and report monthly to the Peruvian Tax Authority any entities that fail to comply with the requirement.

Purpose and Implications

The new resolution aims to improve transparency and combat tax evasion in Peru, and is expected to have significant implications for businesses operating in the country.