CIPC News Summary July 2024
Delays in Processing Reinstatement Applications (Notice 46 of 2024)
The CIPC has announced ongoing delays in processing reinstatement applications (Form CoR40.5). The backlog is due to a high volume of submissions, non-compliance with required documentation, and because customers submit the same inquiries to various mailboxes. To ensure that your enquiry is processed faster read Notice 46 and ensure all documents are properly formatted in PDF and all submission requirements are met before applying. Notice 45 below highlights the alternative enquiry processes of CIPC.
Alternative Enquiry System Processes (Notice 45 of 2024)
Take note of the alternative processes published during March 2024 as the enquiry system (www.enquiries.cipc.co.za ) is currently not available. It is crucial to use the correct channels for your inquiries to avoid delays.
Reminder of Compliance with (Notice 35 of 2021)
The CIPC reminded companies of the requirements to rotate their auditors every five years to enhance audit quality and independence according to section 92 of the Companies Act.
Mandatory Compliance for Business Rescue Practitioners (Notice 44 of 2024)
Business rescue practitioners are reminded to submit monthly status reports required by section 132(3) of the Companies Act. Non-compliance may result in the rejection of license renewal applications and a prohibition on renewing licenses until all reports are filed and up to date.
Major changes coming for the Companies Act
On 26 July 2024 the President signed the Companies Act Amendment Bills into law making significant changes to South Africa’s corporate governance framework. These updates introduce critical adjustments that accountants need to understand. While the effective date for the changes is still to be announced it is time for accountants to learn about the key changes. You can read more in Accounting Weekly.