The Directorate of Investment and Company Administration (DICA) intends the companies to make a habit of complying with Myanmar Laws and in accordance with the legal requirements when conducting the business in Myanmar.
In order to verify whether the companies, directors and participants comply with relevant applicable laws and to support anti-money laundering and anti-terrorism financing procedures, according to section 97 of Myanmar Companies Law, a company must submit the following information when submitting the Annual Return that it is required to submit within two months after company incorporation.
|1.||A bank account must be opened in the company’s name and evidence that the paid-up capital has been credited to the bank lists as shown in the Myanmar Companies Online (MyCo system).|
|2.||The Annual Return is required personal information of an individual who act as a director of the company.
· For local directors, it is required to provide a copy of the National Identification Card and a certificate from the relevant township police that the director actually resides at the address stated in Form A.
· For foreigner directors, it is requested to provide proof of compliance with the registration of foreigner rules 1948. (for example: immigration Form-C)
|3.||Recommendation from the relevant township police that the registered office address of the company mentioned in the MyCo system is actually located on the ground and the company is planning to open an office.|
|Remark (i) If a shareholder listed in the company’s registration is a natural person, it is required to submit the same evidences as mentioned in paragraph no.2;
(ii) If a shareholder listed in the company’s registration is a legal person or legal entity, related company documents must be submitted as the evidence.
Those who register a new company should fully comply with the above-mentioned points from the date of publication of this announcement which is 1st April 2023 and submit the Annual Return to firstname.lastname@example.org.
Thereafter the Registrar will allow the submitting of the Annual Return that have to submit within 2 months after the company incorporation according to Myanmar Companies Law, section 97 and if there is no fully comply in relation to the submission of the Annual Return, further action will be taken according to Myanmar Companies Law, section 430 (d) as stated the register may give notice to the company that it intends to suspend the company’s registration, and such suspension will take effect within 28 days unless the company makes good the default including by the payment of any outstanding fees and prescribed penalties.
According to the above requirements from DICA, this can be concluded as following remark:
- The new investor is required more responsibility and requirements to incorporate a company in Myanmar than previous company registration system;
- The company’s office address must be an actual established address on the ground and the approval of the relevant department must be applied;
- If the director is a foreigner, the process of applying Form-C at the Immigration Department must be completed.
Therefore, the timeframe for the company’s incorporation should take longer than before.