Financial Markets Conduct (FMC Reporting Entities in Liquidation or External Administration) Exemption Notice 2025

View Financial Markets Conduct (FMC Reporting Entities in Liquidation or External Administration) Exemption Notice 2025

This is a new notice which provides financial reporting relief for some FMC reporting entities. The relief comprises a class exemption for five years for each entity incorporated in New Zealand which is in liquidation, receivership or voluntary administration (VA) from certain duties in Part 7 of the Financial Markets Conduct Act (FMC Act), comprising: 

• FMC reporting entities in liquidation – comprehensive relief
• FMC reporting entities in receivership or voluntary administration – deferral relief applies for the reporting year in which the receivership or VA appointment is made and for the next reporting period.

The exemption notice does not apply in relation to registered schemes.

Exemption for FMC reporting entities in liquidation

The notice provides comprehensive relief for financial reporting duties under the FMC Act if an FMC reporting entity is in liquidation. An exempt entity is not required to prepare financial statements, have those statements audited, or deliver those statements to the Registrar of Companies for lodgement. However, it is still required to correctly record its transactions and maintain a satisfactory system of control of its accounting records. The liquidator is also required to prepare financial information in accordance with New Zealand’s insolvency laws.

Exemption for FMC reporting entities in external administration

The notice provides up to 2 years of relief from the obligation to deliver copies of audited financial statements to the Registrar of Companies under the FMC Act if an FMC reporting entity is in receivership, voluntary administration, or interim liquidation, or is subject to a deed of company arrangement. An exempt entity is still required to prepare financial statements during the period of the exemption and have them audited. This exemption does not apply to registered banks, licensed insurers, or non-bank deposit takers.

The notice comes into force on 31 August 2025.

We have also published a Regulatory Impact Statement that discusses the exemption relief and summarises the problem we are seeking to address, our objectives, the options and their associated impacts, and the consultation process we undertook before deciding to grant the exemption relief.

Consultation paper: Proposed financial reporting exemptions for FMC reporting entities in liquidation, receivership or voluntary administration