On Jul. 26, ICL GVT enhanced accountability of religious associations.
ICL GVT issued Act amending the act on registered religious associations and secular associations (Act 108/1999); act on funds, institutions operating under a confirmed charter (measures against money laundering and terrorist financing) (Act 19/1988).
Amendments promote greater integrity, financial stability, and regulatory adherence among registered religious associations, secular associations, funds, and institutions.
Act 108/1999 Amendments
Minister can delegate tasks of the District Commissioner (DC) to one or more DCs.
Registered religious and secular associations must maintain, prepare annual accounts per Accounting Act; must be reviewed by elected auditor/inspector, approved at AGM.
These accounts must be completed within six months of the financial year-end.
Associations must submit annual accounts to the DC by the end of Aug. each year.
Failure to submit on time will incur ISK 600k fine, reducible for late submission.
Directors and board members must meet specific qualifications, including having custody of their estate and not having recent relevant criminal convictions.
Falsifying/misrepresenting information punishable by fine/imprisonment up to 2 years.
Act 19/1988 Amendments
Minister can delegate tasks of the District Commissioner (DC) to one or more DCs.
Board members, managing directors, trustees must meet eligibility requirements, including having custody of their estate and no recent relevant criminal convictions.
These qualifications must be maintained, any loss of qualifications must be reported.
Funds and institutions must also keep and prepare annual accounts according to the Accounting Act, with the annual accounts reviewed and approved in board meetings.
Funds and institutions must submit annual accounts to the DC by Aug. 31 each year.
Failure to submit on time will incur ISK 600k fine, reducible for late submission.
Deliberate misrepresentation or misleading information in public documents or reports is punishable by fines or imprisonment of up to two years.
Effectiveness
Act 112/2024 amendments will come into force on Jan. 1, 2025.
