• CRA-1.6 CRA-1.6 Annual License Fees

    • CRA-1.6.1

      Licensees must pay the relevant annual license fee to the CBB, on 1st December of the preceding year for which the fee is due.

      Added: April 2019

    • CRA-1.6.2

      The relevant fees are specified in Rule CRA-1.6.3 below. The fees due on 1st December are those due for the following calendar year, but are calculated on the basis of the firm's latest audited financial statements for the previous calendar year: i.e. the fee payable on 1st December 2013 for the 2014 year (for example), is calculated using the audited financial statements for 2012, assuming a 31st December year end. Where a licensee does not operate its accounts on a calendar-year basis, then the most recent audited financial statements available are used instead.

      Added: April 2019

    • CRA-1.6.3

      The variable annual license fee payable by licensees is 0.25% of their relevant operating expenses, subject to a minimum and maximum as per the table below:

      S1. No.
      Licensing Category
      Minimum Fees (BD)
      Maximum Fees (BD)
      1.
      Category-1
      2,000
      6,000
      2.
      Category-2
      3,000
      8,000
      3.
      Category-3
      4,000
      10,000
      4.
      Category-4
      5,000
      12,000
      Added: February 2019

    • CRA-1.6.4

      Relevant operating expenses are defined as the total operating expenses of the licensee concerned, as recorded in the most recent audited financial statements available, subject to the adjustments specified in Rule CRA-1.6.5.

      Added: April 2019

    • CRA-1.6.5

      The adjustments to be made to relevant operating expenses are the exclusion of the following items from total operating expenses:

      (a) Training costs;
      (b) Charitable donations;
      (c) CBB fees paid; and
      (d) Non-executive Directors' remuneration.
      Added: April 2019

    • CRA-1.6.6

      For the avoidance of doubt, operating expenses for the purposes of this Section, do not include items such as depreciation, provisions, interest expense, and dividends.

      Added: April 2019

    • CRA-1.6.7

      The CBB would normally rely on the audited accounts of a licensee as representing a true and fair picture of its operating expenses. However, the CBB reserves the right to enquire about the accounting treatment of expenses, and/or policies on intra-group charging, if it believes that these are being used artificially to reduce a license fee.

      Added: April 2019

    • CRA-1.6.8

      Licensees must complete and submit Form ALF (Annual License Fee) to the CBB, no later than 15th October of the preceding year for which the fees are due.

      Added: April 2019

    • CRA-1.6.9

      Licensees are subject to direct debit for the payment of the annual fee and must complete and submit to the CBB a Direct Debit Authorisation Form by 15th September available under Part B of Volume 6 (Capital Markets) CBB Rulebook on the CBB Website.

      Added: February 2019

    • CRA-1.6.10

      For new licensees, the first annual license fee is payable when the license is issued by the CBB. The amount payable is the minimum amount stipulated in Paragraph CRA-1.6.3 for each category of license.

      Added: April 2019

    • CRA-1.6.11

      For the first full year of operation, the licensee would calculate its fee as the floor amount. For future years, the licensee would submit a Form ALF by 15th October of the preceding year for which the fees are due and calculate its fee using its last audited financial statements (or alternative arrangements as agreed with CBB, should its first set of accounts cover an 18-month period).

      Added: April 2019

    • CRA-1.6.12

      Where a license is cancelled (whether at the initiative of the firm or the CBB), no refund is paid for any months remaining in the calendar year in question.

      Added: April 2019

    • CRA-1.6.13

      [This Paragraph was deleted in April 2023].

      Deleted: April 2023
      Added: April 2019