New anti-money laundering and anti-terrorist financing (AML/ATF) requirements came into force on June 1, 2021. These changes will impact CPAs engaged in activities covered by the Proceeds of Crime (Money Laundering) and Terrorist Financing Act (PCMLTFA) and its regulations. Some of these key changes relate to “know your client” rules for accountants and accounting firms, including:
- client identification
- business relationships
- beneficial ownership
- determining if a third-party is giving instructions
- politically exposed persons and heads of international organizations
While the specific changes in the AML/ATF legislation vary for each of these areas and need to be considered individually, there is an overarching implication for accountants and accounting firms — the need to develop or amend your compliance program when there are “triggering activities”. That means revising your existing policies, procedures, practices, and training programs, among other changes, to meet the new requirements.
CPA Canada has published a document that takes you through these changes and details their implications. Click below to download a copy of the document and learn more about these vital requirements.
