We have another amendment to the Commercial Companies Code ahead of us. This time, the legislator decided to increase tax transparency. Next year, private commercial companies will have to face a new task, which is the dematerialization of registered and bearer shares. This means a complete abandonment of the paper version.

It is connected with the necessity to conclude an agreement on keeping a register of shareholders or an agreement on registering shares in the depository of securities, where they will be recorded on the securities account and the documents will be kept in the depository. The decision will have to be made by the General Meeting of Shareholders. The registrar will make an entry on the basis of documents and at this moment the acquisition of the registered share will take place. This will be confirmed by a registered certificate.

So far, the biggest problems have been caused by bearer shares, which status is determined by the fact that they dispose of the document itself. This allows for anonymity and numerous abuses. The amendment will ensure tax transparency, which will improve the administration. Each investor will be disclosed in the register. What is important, it will not be of a public nature. Of course, it will increase the costs of running the company, but it will allow for full identification. Situations of tax evasion will also be verified.

Will this change cause leaving of annonymous investors? We will receive the final information in 2020, when it will be fully dematerialized. Therefore, already now we invite you to a meeting in order to make the first preparations. We guarantee explaining of the entire procedure, including calling shareholders to disclose their shares.