CIPC’s Final Call for Deregistration in January 2024
The Companies and Intellectual Property Commission (CIPC) is the governing authority of South Africa. It is responsible for regulating companies and intellectual property and incorporating businesses within the country. In the context of deregistration, the role of the CIPC involves removing entities that are no longer active or compliant with specific legal requirements.
As per the Companies Act, 2008, CIPC, upon request from another party, can deregister a company or close corporation provided that they have:
- Ceased to carry on business
- No assets or inadequacy of assets for liquidation
- Requested deregistration
Commencement of Final Deregistration
CIPC is set to initiate the final phase of deregistration for all companies and close corporations that have been in the Annual Return Deregistration process for over three years. It will occur after completing the notification procedures outlined in Companies Regulation 40.
The deregistration process will occur on 19 January 2024. The email notification for the same will begin in the first week of February 2024. It may take a couple of weeks for completion due to a high volume of deregistration notices being issued.
Update Your Beneficiary Contact Details
CIPC sends email notifications to companies and close corporations for deregistration due to non-compliance with annual returns requirements. Companies need to maintain current beneficiary contact details in their CIPC records to ensure they receive these crucial reminders.
Upon receipt of these emails, companies and close corporations must verify their operational status and future business intentions. If they plan to continue operations, they must promptly submit their outstanding annual returns and the necessary Annual Financial Statements (AFS) or Financial Accountability Supplements (FAS). It is also important to complete the compliance checklist to avoid final deregistration.
How to Avoid Deregistration?
The deregistration process can be challenging if you are not voluntarily deregistering your company. To avoid deregistration of your company, it is important to file AFS before the deadline. This helps maintain compliance and active registration with CIPC. Should you not comply with these requirements, you will be subject to penalty fees and deregistration of your company.
Partner With DataTracks for Timely iXBRL Reports
If you are looking for a trusted vendor that helps you file your AFS in iXBRL format, DataTracks can be your ideal choice. It is a CIPC-approved software and service provider for iXBRL reporting. The experts have more than 18 years of experience in preparing 348,000 successful, compliant reports for 23,400+ clients. With DataTracks, you can rest assured of receiving 100% error-free reports.
So what are you waiting for? To avoid deregistration and get expert guidance, reach out at +27-10-446-9061 or send an email to enquiry@datatracks.co.za.