2019 Budget Proposal
Guernsey's 2019 Budget is due to be debated by the States of
Deliberation (Guernsey's parliament) at its meeting on
6 November 2018. Section 5 of the 2019 Budget sets
out proposed changes to be introduced under domestic legislation in
order to meet commitments given to the European Union
("EU") in relation to the introduction of economic
substance requirements for companies that are regarded as tax
resident in Guernsey. These changes are to be introduced through a
combination of amendments to existing legislation by a new
ordinance, a new regulation and guidance, all due to be published
and brought into effect from 1 January 2019.
This briefing note provides a summary of the key changes being
proposed in the Budget to introduce substance requirements in
Guernsey and the context in which these proposals have arisen.
