Registrar of Companies “ROC”/Iraq has issued new instructions need to be obliged by the local and foreign companies in Iraq, which states the following:
1- IQ Domain & Postal Box
“With reference to the provisions of Article (17) of the Federal General Budget Law of 2023, 2024, 2025; Paragraph 6 – A, the Ministry of Trade obliges all the registered companies to adopt and use IQ domain in coordination with the Communication and Media Commission “CMC”, and to open postal boxes with the General Post and Savings Company for those companies. After completing the above, the Registrar of Companies should be notified immediately.” The above must be fulfilled and completed within 30 days from the date of ROC announcements which is 5 Oct 2023.
2- Fines for not submitting FS of previous years on time
The Prime Minister issued a decision in October 2023, exempting the registered companies from the delayed fines they owe as a result for not submitting the financial statements. This decision comes based on Article 46 of the amended Federal Financial Management Law of 2019, and Cabinet Resolution No. 23447 of 2023, which aims to correct the legal status of companies, as owners must pay fines due before and after the date of this decision, and this exemption ends on March 24, 2024. Now, the Registrar of Companies has issued new circulation to extending the exemption period until 26 April 2024 to enable companies to correct their legal status.
3- Validity of the certified Documents by ROC
One of the prevalent challenges we encounter in Iraq pertains to the recurrent demand from governmental departments for the most recent copies of certified company documents annually. This process, while crucial, imposes a significant burden on the Registrar of Companies due to the sheer volume of requests received. In response to this issue, the Registrar has issued a directive addressed to key governmental institutions including the Cabinet, the Central Bank of Iraq, and all other ministries.
The aim of this directive is to streamline procedures for companies and alleviate the congestion experienced at the Company Registration Department. Hence, the Registrar propose that companies are to be exempt from the requirement to renew certification of the company’s documents issued within one year from its issuance certification. This adjustment seeks to mitigate the annual surge in workload, benefiting both companies and governmental entities alike.
How can Etihad assist?
Etihad Law Firm specializes in offering legal services and consulting across various facets of the Iraqi legal system, catering to clients in both the private and public sectors. Our expertise shines in the realm of government compliance requirements, with our attorneys extensively collaborating with diverse government entities. We possess firsthand knowledge of the stringent standards for quality services, maintaining direct contact channels with Legal Divisions in different ministries and directorates.