Filing Deadline for Annual Returns and Audited Financial Statements
All British Virgin Islands (the "BVI") private, professional and public funds ("Funds") are required to submit an annual return and audited financial statements to the BVI Financial Services Commission (the "FSC") on or before 30 June 2012.
Other types of funds that are not registered or recognised under the Securities and Investment Business Act, 2010 ("SIBA"), for example, closed-ended funds domiciled in the BVI, are not required to submit an annual return or audited financial statements. Funds could be faced with administrative penalties and/or enforcement action if they fail to meet the deadline.
All Funds are subject to an annual reporting regime under which annual returns ("Annual Returns") must be submitted to the FSC.
Information to be disclosed in Annual Returns
Each Fund must report on the following:
- Basic prudential and governance information, which includes information on its registered agent and functionaries; and
- Summary financial information for the relevant reporting period, which includes beginning NAV, total subscriptions, total redemptions, net income/net loss, dividends/distributions, ending NAV and year-end gross assets.
Asset allocation details are also required, but there is no need to set out specific details of individual investments. Details of investors do not have to be disclosed in Annual Returns.
When do Annual Returns need to be filed?
The reporting period for Annual Returns is every calendar year, ending on 31 December. Funds will be required to submit Annual Returns within six months of the end of each reporting period.
Purpose of Annual Returns
The FSC intends to use the information filed in Annual Returns to measure and develop the BVI funds industry, whilst at the same time meeting international reporting standards. We understand that the FSC will not make Annual Returns publicly available, but may share information gathered from them on an aggregate basis.
Filing Procedure for Annual Returns
Annual Returns must be submitted to the FSC electronically. To complete and submit Annual Returns, please visit https://returns.bvifsc.vg.
Please click on the following link for a copy of the FSC's full guidance notes.
If you require assistance with the Annual Returns, please email the FSC at email@example.com.
AUDITED FINANCIAL STATEMENTS
Pursuant to SIBA and the Mutual Funds Regulations, 2010, all Funds are required to appoint, and at all times have an auditor for the purposes of auditing their financial statements, and are required to submit a copy of their audited financial statements to the FSC within six months of the end of each financial year.
Funds with a financial year ending on 31 December will be required to submit audited financial statements for the 2011 financial year to the FSC on or before 30 June 2012.
Funds must prepare financial statements for each financial year in accordance with one of the prescribed accounting standards1 or internationally recognised and generally accepted accounting standards equivalent to such prescribed accounting standards.
Exemptions and Extensions
Funds which have not appointed an auditor will need to make a written application to the FSC for an exemption from the requirement to appoint an auditor and submission of audited financial statements. Alternatively, Funds which are not in a position to file the audited financial statements by the annual filing deadline may apply to the FSC for an extension. The FSC may grant a maximum extension of up to nine months following the end of the relevant financial year.
Procedure for Submission
Funds may submit their audited financial statements either directly to the Director of Investment Business at the FSC, Mr. Broderick Penn, at firstname.lastname@example.org, or through the Fund's authorised representative, Maples Authorised Representative Services (BVI) Limited, via any of your usual Maples and Calder contacts.
(a) the International Financial Reporting Standards,
promulgated by the International Accounting
(b) UK GAAP;
(c) US GAAP;
(d) Canadian GAAP; or
(e) such other recognised international accounting
standards as may be approved by the Commission,
on a case by case basis.