Company/Close Corp De-Registrations
Whether you have a holiday home, residential property or a business property; if the property is registered in a Company or Close corporation; it is crucial that one remembers to pay the annual return levies to the CIPC (Companies and Intellectual Property Commission – the old CIPRO).
Some important facts one should be aware of:
- If the annual return levies is not paid for two or more years, the CIPC will de-register the entity
- The property (registered in the name of the de-registered entity); will become “bona vacantia” (OWNERLESS) as stated in a notice by The Department of Public on 2 April 2013.
- The process to restore a deregistered entity is quite involved and time consuming….the minimum period for restoration is 6 (six) weeks.
- In many cases, the owner of the property only discovers that the entity has been de-registered when the property is put on the market and this causes a significant time delay in the transfer of the property as the entity first needs to be restored before the process can continue.
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