Proposals aimed at making it easier for international companies to escape the
regulatory requirements of a US listing do not go far enough for many businesses
The Securities and Exchange Commission responded to calls from those trapped
by its registration rules by proposing a change in December that would enable
greater numbers of companies to escape the requirements of the Sarbanes-Oxley
Act, should they wish. However, the Financial Times reports that a coalition of
leading European business associations will tell the regulator that the changes
will make little difference to the number of companies able to deregister.
Currently, a non-US company can only deregister from the SEC if it has less
than 300 US-based shareholders. The suggested change would mean companies with
less than 5% of its shares held by US investors could exit the American market.
This rises to 10% for larger companies as long as this shareholding accounts for
less than 5% of daily trade volumes.
MHA MacIntyre Hudson has partnered with cloud accounting software provider Xero ahead of the government’s requirement for digital records
Smaller businesses could be excluded from government plans for making business transactions digital, found new research from ICAEW
Further powers are being sought by HMRC, but it is ‘failing’ to use those it already has, such as Conduct Notices, says RPC
HMRC breaches client confidentiality; and partner profits fall at EY. These stories and more discussed in Friday Afternoon Live