The European Union has adopted a landmark package of measures to combat money laundering and terrorist financing (AML). A substantial part of the package will take effect on 10 July 2027. Unlike the previous approach, the new framework is based on a directly applicable regulation (AMLR), bringing an end to fragmented national rules. For auditors and tax advisers, this means greater responsibility and harmonised procedures across the EU.
As entities subject to AML obligations, we must respond in a timely manner to the new legislation, which introduces several significant changes. A key pillar of the reform is the establishment of the new European Anti-Money Laundering Authority (AMLA), headquartered in Frankfurt am Main. This central authority will directly supervise the highest-risk financial institutions and harmonise methodological standards for customer due diligence (CDD).
Another significant change for business practice will be the introduction of an EU-wide cap of EUR 10,000 on cash payments. At the same time, identification requirements for occasional cash transactions will become stricter, applying from a threshold of EUR 3,000.
The new rules also address modern technologies and corporate transparency. Providers of crypto-asset services will therefore be fully brought within the scope of AML obligations. They will also be subject to the so-called Travel Rule, which requires certain information to accompany crypto-asset transfers.
Requirements concerning registers of beneficial owners (UBOs) will also become stricter. In practice, this will make it considerably easier for auditors to verify complex ownership structures.
Finally, the legislation strengthens the powers of national authorities. The Czech Financial Analytical Office (Finanční analytický úřad, FAÚ) will be able to temporarily suspend a suspicious transaction for up to ten working days, double the current period of three to five days.
Conclusion
Although the new rules will not become fully applicable until mid-2027, we recommend that our clients begin preparing well in advance.
As your auditors, we will closely monitor the evolving guidance issued by the Czech Financial Analytical Office (FAÚ) and the Chamber of Auditors of the Czech Republic to help you implement all necessary changes in a timely and seamless manner.
Together, we will focus in particular on reviewing your internal control mechanisms, updating procedures for identifying beneficial owners and implementing the new limits for cash transactions. This will help ensure that your business complies with the stricter EU standards.
Meta Tag
The EU AML package introduces the directly applicable AMLR Regulation, the new AMLA authority and a EUR 10,000 cap on cash payments. Find out how to prepare for the new audit and compliance requirements.
