By using our website you consent to all cookies in accordance with our Privacy Policy.
Last updated: 26 Feb 2020

reporting requirement under BVI Economic Substance Act

Effective from Jan 2019, BVI Economic Substance Act (ESA) has set out reporting requirement for entities which fall under the scope of the legislation. The ESA reporting regime was built on Beneficial Ownership Secure Search System Act 2017 (the BOSS Act). Section 16 of the Act imposed further reporting obligations by way of amending the BOSS Act. In June 2019, the BVI changed the effective date of this section to 1 Oct 2019 by releasing a Notice (SI No.41 of 2019) under BVI Economic Substance.

So, what information that must be provided by an BVI entity?

The type of information you must report to your registered agent depends on your business activities and tax residency status. Below we boil down to three specific cases with corresponding reporting information.

 - If your BVI entity carries on relevant activities and is not a non-resident company or non-resident limited partnership, then for each relevant activities during a financial period after 31 Dec 2018, the declared information must include:

  • Total income by the relevant activity in BVI;
  • Total operating expenses by the relevant activity in BVI;
  • Number of qualified employees engaging in relevant activity in BVI;
  • Address of premises in BVI in relation to the relevant activity;
  • Details of equipment in BVI for uses in connection to the relevant activity;
  • Details of individuals responsible for direction and management of the relevant activity, and whether they are resident in BVI.

If the core income-generating activities are outsourced to another entity, information regarding the name of the outsourcing entity and details of resources deployed is also required.

For IP holding business, ESA requires entities to declare whether they are high risk IP legal entity and whether they wish to contest the rebuttable presumption in the Act, if so, the facts and matters relied upon.

 - If your BVI entity conducts relevant activities and is a non-resident company or non-resident limited partnership, you must declare the jurisdiction in which your BVI entity is tax resident together with supported evidence. Please note that these evidence is not described in the Act.

 - Finally, if your BVI entity does not carry on any relevant activity specified in the Act, you just have to notify your registered agent without need to provide supporting documents.

No further details on filing process and submission period are given by the Act.

Our relationship manager will contact you as soon as we receive new guidance regarding these reporting requirements.

Should you have any question of reporting obligation under BVI economic substance, please contact your direct account manager or drop us a message through service@bbcincorp.com.


Recent Posts

opening-bank-account-covid-19-sharing-by-rachel-ng-bbcincorp
3 Jul 2020

Opening Bank Account During Covid-19 & Sharing By Rachel Ng From BBCIncorp

Open an Offshore Business Account Remotely, specifically in financial centers like Hong Kong and Singapore during Covid-19 Period, is it possible? Get the answer with Rachel Ng from BBCIncorp

Read more
dbs-hong-kong-now-supports-remote-bank-account-opening
27 May 2020

DBS Hong Kong now supports remote bank account opening

DBS Hong Kong now caters the need of business owners who cannot afford a trip to Hong Kong for registering a business account by way of temporarily suspending requirement to visit Hong Kong.

Read more
seychelles-announced-beneficial-ownership-act
22 May 2020

Seychelles announced Beneficial Ownership Act, 2020

On 5th March 2020, Seychelles passed two new laws of Beneficial ownership Act 2020 (BOA) and AML/CFT Act 2020 in replacement of AML Act, 2006.

Read more
recent-key-changes-in-belize-tax-law-on-ibcs
22 May 2020

Recent key changes in Belize tax law on IBCs

Belize has undergone significant changes to its tax treatment for an IBC. Namely, there were two tranches of amendment into its Tax Act in 2018 and 2019.

Read more
revised-incorporation-annual-fee-of-seychelles-ibcs
14 May 2020

Revised Incorporation & Annual Fee of Seychelles IBCs From 1st April 2020

Fees payable for the incorporation and annual renewal of all Seychelles International Business Companies (IBCs) effective from 1st April 2020 would be increased. See details!

Read more
hong-kong-the-2018-19-tax-payment-deadlines-extended
21 Apr 2020

Hong Kong: The 2018/19 Tax Payment Deadlines Extended For Three Months

IRD announced on the automatic three-month extension for the payment deadline of Salaries Tax, Tax under Personal Assessment and Profits Tax for the YOA 2018/19

Read more
bbcincorp-limited-received-ocbc-valued-partner-award-2019-2020
30 Mar 2020

BBCIncorp Limited received OCBC Valued Partner Award 2019/2020

BBCIncorp Limited was honored to announce its award "OCBC Valued Partner Award 2019/2020”. It is highlighted that this has been the 5th year that BBCIncorp received this honor.

Read more
delivery-service-temporarily-suspended-due-to-covid-19-pandemic
26 Mar 2020

Delivery Service Temporarily Suspended Due To COVID-19 Pandemic

Due to the severe impact of the coronavirus pandemic (COVID-19), BBCIncorp Limited regrets to announce the temporary suspension of delivery services by courier companies

Read more
ocbc-singapore-introduced-multi-currency-account-for-business
20 Mar 2020

OCBC Singapore Introduced Multi-Currency Account For Business

OCBC Singapore introduced its first product in the category of Multi-Currency Business Account, which can greatly benefit all local and foreign companies to grow their business internationally.

Read more
open-bank-account-online-with-dbs-and-ocbc
13 Mar 2020

Exclusive Offer: Open Bank Account Online With DBS & OCBC

In response to Coronavirus Outbreak (COVID-19), two of our largest partners – DBS and OCBC banks are now offering favorable approaches to support BBCIncorp’s clients and customers.

Read more