The UAE’s Finance Ministry has announced all companies in the UAE which engage in any of the relevant activities under the Economic Substance Regulations have to submit a notification to the Regulatory Authority by 31 December 2020. This applies to those entities whose financial year ended on 31 December 2019. If they do not, they will face administrative penalties.
The Undersecretary to the Finance Ministry added the Ministry will launch the Economic Substance Regulations portal in the first week of December 2020. The aim of the portal is to simplify the process of submitting these reports and notifications by allowing companies to submit reports, notifications and supporting documents electronically.
To help affected companies prepare the necessary applications on the Portal, the Finance Ministry has published sample notification forms on its website and social media platforms. They have also published relevant guides and documents, and a notice regarding the submission requirements and deadlines.