About the UBO register trusts
- Edited 28 February 2023
- 1 min
In the UBO register trusts, trustees must register their trust or similar legal construction and their ultimate beneficial owners (UBOs). Through this transparency, the register helps prevent money laundering, corruption, fraud, tax evasion and terrorist financing. The UBO register trusts stems from European legislation. KVK manages the UBO register trusts on behalf of the Ministries of Finance and Justice & Security.
When was the UBO register trusts introduced?
The registration requirement came into effect on 1 November 2022. New trusts and FGRs must register in the UBO register trusts within a week.
What is a trust?
A trust is a legal arrangement created by an individual (the 'settlor'). In a trust, assets are entrusted to a trustee (the 'trustee'). The trustee uses the assets in accordance with a trust deed for one or more beneficiaries (the 'beneficiary') or for a particular, more broadly defined purpose (for example, for children in village x, or for scholarships). Sometimes a person is appointed to control a trustee ('protector').
Trusts have many variants and are used in business, family, charity, et cetera, among others. Under Dutch law, a trust is not a legal entity or legal form, but a target asset.
The trustee is trustee of the trust and is responsible for registering the trust or similar legal arrangement and its UBOs.
What is a similar legal construction?
A 'similar legal construction' is assimilated to a trust. For the Netherlands, it is a fund on joint account (fonds voor gemene rekening, FGR). This fund is an agreement between three different parties: a custodian, an administrator, and participants. The fund aims to raise assets to invest them jointly and exists in different forms: an open or closed fund.
Only the trustee of a trust, or the person who is in a similar legal position to a trustee in a trust, can register the trust and its UBOs. This trustee is also a UBO of the trust. The other UBOs of the trust must provide the trustee with all necessary information so that the trustee can make the registration.
Is this an extension of the UBO register?
The UBO register trusts is a different register from the existing UBO register. The UBO register is part of the Business Register. The UBO register trusts is a separate register with its own website, (in Dutch).