The Cayman Islands economic substance regime has recently been
expanded1, so as to now bring into scope Cayman Islands
partnerships. By way of background to the economic substance regime
(ES Regime), it requires certain entities that are
domiciled or registered in the Cayman Islands and carrying on
certain types of activities to have demonstrable economic substance
in the Cayman Islands. Investment funds (whether Cayman
partnerships or companies) continue to be out of scope of the ES
Regime, although notification filings are required.
As a result of the recent expansion of the ES Regime, all types
of Cayman Islands partnerships (exempted limited partnerships,
general partnerships, limited partnerships and foreign limited
partnerships) will be required to make an annual notification
through their corporate services provider (typically a registered
office service provider) as to whether or not they are in scope of
the ES Regime and whether or not they were carrying on
