A document designed to provide companies with guidance on how the States’ draft Taxation Companies Economic Substance Law will operate has been published this week.
The Minister for External Relations, Senator Ian Gorst, last month lodged the proposed law for debate by the States Assembly at its sitting on 4 December. The law has been designed to address concerns of the EU Code of Conduct Group on Business Taxation about the need for relevant businesses to demonstrate adequate economic substance in the Island.
The document – Key aspects in relation to proposed economic substance requirements, as issued by Guernsey, Isle of Man and Jersey – will give practical help on how the proposed law will be implemented.
It represents the first level of guidance issued by the States, but it is envisaged this will evolve into a more comprehensive document.
The States welcomes comments, which should be sent to Tax.Policy@gov.je
• The Key Aspects document can be found here
• The draft Taxation (Companies Economic Substance) Jersey Law can be found here