As many as 75,000 companies and reporting entities are at risk of incurring significant fines for failing to disclose their true owners by the recent deadline of July 31. Rune Aale-Hansen, CEO of Regnskap Norge, warns that the penalty for a one-week delay could exceed NOK 36,000. Should all these businesses remain non-compliant, the total financial ramifications could reach a staggering NOK 2.7 billion in just a week.
Despite the implementation of the new register of real rights holders last autumn, a substantial number of businesses have yet to fulfill their reporting obligations. This register was put in place to combat money laundering, terrorist financing, and other forms of financial crime, and aims to create a clearer picture of business ownership in Norway, Aale-Hansen explains.
Economic Crime
The core objective of the register is to shed light on the ownership and control of companies operating within the country.
- “Identifying the real rights holders is crucial,” Aale-Hansen asserts. “Public authorities and those required to report, as well as other stakeholders—including the press—will gain insight into who truly stands behind each business. This transparency is expected to make a meaningful impact in the fight against financial crime.”
The urgency of the situation cannot be overstated. The deadline for reporting has already passed, yet approximately 75,000 entities have not yet disclosed their owners. The potential fine for negligence is mounting, making immediate action essential.
Notice Before a Fee is Imposed
- “There is no option to apply for an extension to register the necessary information,” Aale-Hansen continues. “Notices have already been dispatched via Altinn, and reminders are being sent today to highlight the lack of registration and detail the consequences of non-compliance.”
For businesses that are inactive and should be dissolved, Aale-Hansen emphasizes that they must be officially deleted in the relevant business register for the registration requirement to be lifted. Merely declaring a business as dissolved is insufficient. To avoid fines, the Brønnøysund Register Centre advises submitting the necessary forms before initiating dissolution proceedings. Even if a company has no activity or identifiable rights holders, the reporting obligation remains. Those uncertain about their company’s compliance can easily check their status on Altinn.
Facts to Consider:
Further details about these obligations are available at brreg.no/reelle-rettighetshavere.
A beneficial owner is defined as an individual—whether Norwegian or foreign—who meets one or more of the following criteria:
- They are the actual rights holder either directly, indirectly, or via an agreement.
Potential Penalties
Fines for failure to register are structured as follows:
| a. | Half a court fee per day for the first eight weeks. |
| b. | One court fee per day for the next ten weeks. |
| c. | One and a half court fees per day in successive weeks. |
Fines accumulate daily and will be enforced after eight weeks, eighteen weeks, and subsequently every ten weeks. The current court fee (R) amounts to NOK 1,314.
As the deadline looms, businesses must act quickly to avoid steep penalties and contribute to a safer economic landscape in Norway.