Deloitte Jersey Tax Seminar - Economic Substance, Are You Ready?

Deloitte is hosting a breakfast briefing in October to explore the expected framework of the new economic substance legislation further to commitments made to the EU Code of Conduct Group (Code Group).

The proposed legislation follows the commitment by the governments of Jersey, Guernsey and the Isle of Man to the EU Code Group to introduce new economic substance legislation by the end of 2018.

The breakfast briefing, held on the 12th of October, will be hosted by Deloitte Tax Partners Jo Huxtable and Martin Rowley and will examine the practical implications of the changes, including:

The background to these changes and why they are important to the local business community; An overview of the critical aspects of the proposals, highlighting
which types of entities may be impacted; The use of specific examples to highlight some of the more
complex areas; Consideration of the additional administration and compliance which may result for corporate service providers as they evaluate the impact of this
regime on their clients as well as their services; and Q&A – an opportunity to hear about specific areas of concern that may need to be covered in the guidance that is expected to supplement legislation implemented by 31 December 2018.

‘The economic substance proposals have yet to be published in final form, but there is a certain amount of information available in documents produced by the Code Group and incorporated in the consultation documents circulated by the Governments of Jersey and Guernsey in recent months.

‘These new rules are expected to be incorporated into revised tax returns for companies for accounting periods starting on or after 1 January 2019, and it’s also likely there will be sanctions levied against companies that are unable to comply with the new rules. While final details remain to be clarified within the next few weeks, it is already clear that review and, where necessary, action by affected organisations will be essential and should be undertaken imminently,’ explains Martin Rowley, Partner, Deloitte.