Economic Substance – Preparing For Filing The First Declarations

As you will be aware, Bermuda enacted economic substance legislation requiring every company, LLC and limited partnership that has a separate legal personality which is carrying on a "relevant activity" (each, a "relevant entity") to file an economic substance declaration form (the Declaration Form) with the Bermuda Registrar of Companies (the Registrar).  The Declaration Form must include information demonstrating that either the relevant entity: (a) has satisfied the economic substance requirements applicable to that entity, or (b) is resident for tax purposes in another jurisdiction (which is not on the European Union's list of non-cooperative jurisdictions for tax purposes).  The Registrar will determine whether or not the applicable substance requirements are met, based on the information provided by the relevant entity.