Compliance of UAE Economic Substance Regulations in Fujairah

​Gupta Accountants realizes the complex challenges of compliance with UAE Economic Substance Regulations while doing business. Gupta Accountants provides range smart solutions for compliance with UAE Economic Substance Regulations.  

Introduction of Economic Substance Regulations in UAE:

• ESR have been introduced in countries with low or no corporate taxes, in order to comply with international initiatives to combat harmful tax practices including unlawful avoidance or evasion. ESR requires certain legal entities to demonstrate that they carry out substantial economic activities in these jurisdictions, in accordance with the Economic Substance Test  The UAE has introduced the Economic Substance Regulations which are applicable to the business establishments based on mainland as well as free zones . The purpose of the Regulations is to ensure that UAE entities undertaking certain activities report actual profits that are commensurate with the economic activity undertaken within the UAE. ​​
• The UAE Economic Substance Regulations came into existence on 30 April 2019. 
• The UAE Economic Substance Regulations primarily apply to legal entities that carry out a ‘Relevant Activity’ which has been identified under the regulation. ​
• The Relevant Activities under the Economic Substance Regulations are:

1.  Banking Businesses , 2.  Insurance Businesses,  3.  Investment Fund Management Businesses,  4.  Lease-Finance Businesses,  5. Headquarters Businesses​   6,  Shipping Businesses,  7.  Holding Company Businesses, 8.Intellectual Property Businesses and 9. ​Distribution and Service Centre Businesses

What is Economic Substance Regulations? 

What Compliance is required under the UAE Economic Substance Regulations?

Business Activities, subject to notification - substance test and annual substance return compliance  under the UAE  Economic Substance Regulation 

Economic Substance Regulations in United Arab Emirates

Concerned Regulatory Authorities under ESR - Economic Substance Regulation in UAE

Who is subject to the ESR?

Economic Substance Test:
The Economic Substance Test  requires a an entity to demonstrate that:

• the entity and the Relevant Activity are being directed and managed in the UAE;
• the relevant Core Income Generating Activities (CIGAs) are being conducted in the UAE; and 
• the entity has adequate employees, premises and expenditure in the UAE.

Stages of Compliance with UAE Economic Substance Regulations:
Stage 1 : Notification 
Stage 2: Annual Substance Return 

Regulatory Authority under UAE Economic Substance Regulations:
Regulatory Authority has been specified under the regulations and it is the Regulatory Authorities that set the requirements, deadlines and format for notification filing as they believe is appropriate and which may vary.  Regulatory Authority for the Relevant Activity

Gupta Accountants competent team as ESR Consultants in Dubai, provides supports at all the stages of compliance with UAE Economic Substance Regulations ​

VAT | REGISTRATION | COMPLIANCE | AUDIT | REFUND | CONSULTING 

Why Gupta Accountants ? 

• Professionally qualified and experienced ESR Consultant and Advisors in Dubai. 
• Cost Effective ESR compliance services in Dubai and UAE.
• Compliance to International standards & applicable rules and regulations. 
• Free Advisory

Gupta Accountants could assist with the ESR Compliance to the companies based in Fujairah, Creative City Fujairah, Fujairah Free Zone Authority, International Free Zone Authority - IFZA