Resolution No. 000164 of December 27, 2021, issued by the DIAN, establishes the obligation to provide information in the Register of Ultimate Beneficial Owners – RUB.
What is an ultimate beneficial owner?
An ultimate beneficial owner refers to natural persons who:
- Directly or indirectly owns more than 5% of the capital of a legal entity or the voting rights of the legal entity, and/or benefits from five percent (5%) or more of its assets, earnings, or profits.
- Exercises direct or indirect control over the legal entity.
- When no ultimate beneficial owner is identified under the criteria mentioned above, the natural person holding the position of legal representative shall be considered as the ultimate beneficial owner, unless there is another natural person holding a higher authority in relation to the management or direction functions of the legal entity, in which case the latter natural person should be reported.
Who is obligated?
- National profit or non-profit corporations and entities in accordance with the provisions of Article 12-1 of the Tax Statute, including those whose shares are registered or listed on one or more stock exchanges.
- Permanent establishments in accordance with the provisions of Article 20-1 of the Tax Statute.
- Non-legal entities or similar structures, in any of the following cases:
- Those created or managed in the Republic of Colombia.
- Those governed by the laws of the Republic of Colombia.
- Those whose trustee or similar position or equivalent is a national legal entity or a natural person who is a tax resident in the Republic of Colombia.
- Foreign legal entities, when their entire investment in the Republic of Colombia is not made in legal entities, permanent establishments, and/or non-legal entities or similar structures obligated to provide information in the Register of Ultimate Beneficial Owners (RUB) according to the aforementioned points.
Deadlines
The deadline for completing this registration is July 31, 2023, for existing corporations. For those created after June 1 2023, they must carry out this process no later than within the two (2) months following: (I) registration in the Unique Tax Registry RUT, or (II) registration in the Non-Legal Entity Identification System – SIESPJ, and/or (III) the moment they become obligated to comply with the provisions of Article 4 of Resolution 000164 of 2021.
