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Tax Engineering

What are bearer shares?


Question

What are bearer shares?

Answer

Bearer shares are the anonymous shares held by a natural or legal person related to the company. The main characteristic of bearer shares is that the holder of such participations justifies before a notary the ownership of the shares and therefore declares to be a shareholder of the company. Bearer shares don’t hold the name of its owner and therefore facilitate the transfer of assets anonymously. As a general rule, we do not advise the use of bearer shares due to the negative awareness of some countries to recognize this type of stock because of its association with money laundering offenses of illicit origin.



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