Introduced in 2019 under Cabinet Resolution No. (31), the economic substance regulations were adopted to align with international standards set by the OECD’s BEPS framework. They apply to companies operating in mainland, Free Zones, and offshore jurisdictions in the UAE.

The aim?
To prevent businesses from using the UAE’s tax-friendly environment as a base without doing real business here.

• To pass the Economic Substance Test, your business must prove that it conducts Core Income-Generating Activities (CIGA) in the UAE and meets key criteria:
  
  
  • Real office space or premises
  • Full-time staff in the UAE
  • Sufficient local expenditure

If your company is involved in relevant activities like holding, shipping, service centers, IP businesses, etc., the ESR Test applies to you.

• End-to-end support for economic substance filing
• Trained experts in ESR UAE compliance
• Timely updates and changes to ESR rules
• Personalized strategy based on your company type
• Help with ESR portals, notifications, and reports

The deadlines for economic substance annual reporting and registration are tight. Missing them can lead to fines and unwanted audits.

Let us handle your ESR registration, so you can focus on running your business.

Talk to our experts today and stay ESR-compliant with confidenc