The recently submitted Draft Taxation (Partnerships – Economic
Substance) (Jersey) Law 202- is expected to be approved on 29
June 2021. In line with EU global commitments, it will extend the
Jersey economic substance regime to Jersey resident partnerships
generating income from relevant activities from 1 July 2021, with
existing partnerships having a 6-month transition period.
Partnerships that are funds will be predominantly out of scope but
the activities of a general partner may themselves require
substance under the existing legislation.
Carey Olsen continues to be closely involved in the development
of substance legislation and is happy to advise on the impact it
may have on structures in Jersey, as well as the equivalent regimes
in Guernsey, BVI, Bermuda and the Cayman Islands. Further
information will be published in due course. In the interim, the
proposals in Jersey can be summarised as follows:
