Guernsey Financial Services Commission Publishes New Fiduciary Law Details

Amanda Banks, Tax-news.com, London

05 April 2001

The Guernsey Financial Services Commission has released details of the island's Regulation of Fiduciaries, Administration Businesses and Company Directors (Bailiwick of Guernsey) Law 2000 - otherwise known as the 'Fiduciary Law', which came into effect on 1 April, 2001.

The Commission says that the Bailiwick of Guernsey is one of the first jurisdictions to establish a statutory system of fiduciary regulation and estimates that there are currently 200 businesses providing fiduciary services in Guernsey through their operations as professional trustee and corporate service providers.

According to the Commission, fiduciaries that are currently performing regulated activities must submit their licence applications to the Commission by 31 May 2001 in order to be entitled to continue to carry on regulated activities until their applications are determined. The Commission states: 'Anyone who was not carrying on regulated fiduciary activities immediately before 1 April 2001 is prohibited from carrying on such activities unless or until a fiduciary licence is granted.'

The annual fee for a full fiduciary licence is dependent upon the annual turnover from regulated fiduciary activities. For such a turnover up to £250,000 a licence fee of £2,500 is charged. For turnovers between £250,000 and £1,000,000 a fee of £5,000 is required and for a turnover in excess of £1,000,000 companies can expect to pay £10,500.

The complete text of the Fiduciary Law can be found at: http://www.gfsc.guernseyci.com/news.html

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