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ARTICLE · 06 JANUARY 2020

Important Amendments To Bermuda's Economic Substance Legislation

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On 24 December 2019, both the Economic Substance Amendment (No.2) Act 2019 and the Economic Substance Amendment (No.3) Regulations 2019 (the Amendment Legislation) came into force

BermudaFinance and Banking
Neil Henderson
Neil Henderson
Anthony Whaley
Anthony Whaley
Marcello Ausenda
Marcello Ausenda
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On 24 December 2019, both the Economic Substance Amendment (No.2) Act 2019 and the Economic Substance Amendment (No.3) Regulations 2019 (the Amendment Legislation) came into force. The Amendment Legislation makes key changes to Bermuda's economic substance regime, principally to harmonise the legislation with the legislation of other British Overseas Territories and Crown Dependencies. Simultaneous with the introduction of the Amendment Legislation, the Minister of Finance released Guidance Notes on the scope and application of the economic substance legislation.

The most significant changes under the Amendment Legislation are related to:

  • Holding entities
  • Financing and leasing

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