The Bermuda Registrar of Companies (ROC) extended to 30 September 2022 the filing deadline for those entities which earned no gross revenue during the relevant financial period ending 31 December 2021. All filings are required to be made via the Economic Substance Portal.
The ROC recently issued an industry notice announcing that the OECD has issued a guidance note with respect to entities that claim entitlement to exclusion from the economic substance regime on the basis that they are tax resident in another no (or only nominal) tax jurisdiction to the effect that:
- the ROC should always reject for exclusion claims of tax residency in respect of the following jurisdictions: Anguilla, Bahamas, Bahrain, Barbados, Bermuda, British Virgin Islands, Cayman Islands, Turks and Caicos Islands and the United Arab Emirates; and
- the ROC should only accept for exclusion claims of tax residency in respect of the following jurisdictions when sufficient proof exists in support of those claims: Guernsey, Isle of Man and Jersey.
Amendments will be made to the Economic Substance Act 2018 to reflect the above requirements. In the meantime, entities which expect to be affected should make appropriate arrangements in anticipation of such changes.
The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.