A recent amendment to Ontario’s Business Corporations Act will become effective on January 1, 2023. The primary purpose of the amendment is to impose more onerous disclosure and record-keeping obligations on private corporations relating to who has significant control over the corporation.
In addition, failure to comply with these disclosure and record-keeping obligations can result in significant fines or punishments for not only the corporations but also individual officers and directors. Depending on the nature of the offence, the fine or punishments can be up to $200,000 and/or imprisonment of up to six months.
What does this mean?
What does this mean for you? First, you will need to update your corporate records within your Minute Book to comply with the new requirements. And if you don’t have a Minute Book, you’ll want to get some help putting that together now to avoid the new punishments.
Find out more in our blog on why you need an up-to-date Minute Book and what that entails. And contact us if you have any questions or need help getting your corporate records in order.