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Austria – New Nominee Reporting Requirements Under WiEReG
The Austrian Register of Beneficial Owners Act (WiEReG) has introduced significant new reporting requirements that transform how nominee agreements must be disclosed.
Effective 1st of October 2025, these changes represent a fundamental shift in Austrian beneficial ownership reporting, particularly regarding nominee agreements and trust arrangements.
Understanding Nominee Relationships
Nominee agreements are formal or informal arrangements where a nominee or nominee director undertakes to act on behalf of a nominator (principal).
While nominees and nominee directors are not automatically considered beneficial owners, beneficial ownership is determined under Section 2 WiEReG when ownership or voting rights exceed 25% of control.
Key Changes
The legislation now mandates comprehensive reporting of all nominee relationships at the entity level, moving beyond the previous focus on arrangements that only affected beneficial ownership determination.
All nominee agreements at the reporting entity level must now be disclosed, regardless of their impact on beneficial ownership status.
Applicability
These requirements apply to all nominee agreements at the reporting entity level. Nominees, nominee directors, and nominators must disclose their status and relationships, regardless of beneficial ownership thresholds.
Notably, nominee agreements at higher levels remain exempt from reporting unless they are relevant for determining beneficial ownership.
Implementation Timeline
The new requirements took effect as of 1st October 2025, with reporting forms now available via USP (Unternehmensserviceportal).
For entities with existing nominee arrangements, updates must be included in their next regular notification. Any new changes must be reported within four weeks of occurrence.
Annual Verification
Companies must conduct regular reviews of their nominee arrangements. If a company was previously exempt under Section 6 WiEReG but now has nominee agreements in place, an immediate amendment filing is required.
All other entities must include nominee agreement information in their next regular notification or report changes within four weeks of becoming aware of them.
Risks of Non-Compliance
The legislation introduces substantial penalties for violations:
- Up to EUR 200,000 for intentional violations
- Up to EUR 100,000 for gross negligence
These penalties apply to incorrect or incomplete notifications, failure to report changes within the deadline, and failure to disclose nominee status. Importantly, these sanctions now extend to breaches of reporting obligations that may not directly affect beneficial ownership.
How Mercator® by Citco (Mercator) Can Help
Our team provides comprehensive support to navigate these new requirements. We can:
- Review your entity structure
- Determine specific reporting obligations
- Assist with preparing or updating UBO filings
- Ensure ongoing compliance with WiEReG requirements
Contact mercator@citco.com for assistance with your WiEReG compliance needs.
