Further to the Tax News Letter sent to you on 31 August 2011 on the recent changes in the legislation, we would like to inform you that the issue on the penalties payable in case the levy imposed on companies with the recent amendment to the Companies Law is not paid within the prescribed time limits has been clarified. The position is as follows:
In case where the levy is not paid within the prescribed period, if the levy is paid within two months from the due date, a penalty of 10% is payable which is increased to 30% if the levy is paid within five months from the due date. If the levy is not paid within five months, the Registrar of Companies will remove the company from the registry (something which is expected to restrict the company from filing documents or requesting certificates from the Registrar’s Office). The return of the company to the registry can be effected within two years with the payment of a levy of €500 and thereafter with the payment of a levy of €750.