Skip to main content Skip to accessibility
This website is not compatible with your web browser. You should install a newer browser. If you live in Jersey and need help upgrading call the States of Jersey web team on 440099.
Government of

Information and public services for the Island of Jersey

L'înformâtion et les sèrvices publyis pouor I'Île dé Jèrri

  • Choose the service you want to log in to:


    Update your notification preferences


    Access government services


    Clear goods through customs or claim relief

  • Talentlink

    View or update your States of Jersey job application

Economic substance for companies

An introduction to legislation for economic substance

Legislation introducing economic substance requirements for companies has been passed.

Taxation (Companies - Economic Substance) (Jersey) Law

A consultation on the outline proposals was held between 6 and 31 August 2018. The summary of responses to the consultation is now available. 

Economic substance consultation responses summary

Consultation on the introduction of substance requirements for companies tax resident in Jersey

Guidance for companies

The key aspects document details:

  • the first level of guidance issued
  • how we will implement the law

Key aspects in relation to economic substance requirements

The guidance on aspects in relation to the economic substance requirements document:

  • builds on the key aspect document
  • begins to look at implementation in relation to specific sectors

Economic substance requirements guidance

The guidance on the company tax return document provides an overview of the information companies will be required to provide on their return for economic substance purposes from the year of assessment 2019.

Economic substance corporate return guidance

The economic substance flowchart shows the legislation's scope.

Economic substance flowchart

Economic substance questions and answers

We were asked questions on the legislation and its application when it was proposed. We have reproduced some of these questions and our answers.

Questions and answers on economic substance requirements and the legislation

Coronavirus (COVID-19) and economic substance

Where companies operating practices have to be adjusted to compensate for the coronavirus outbreak, the Comptroller will not determine under Article 6, Taxation (Companies- Economic Substance) (Jersey) Law 2019, that a company has failed the economic substance test.

Where a company incorporated in another jurisdiction has been tax resident on the basis of control and management in Jersey, and the Comptroller considers that any changes dictated by the coronavirus are temporary, then this will not disturb the determination of corporate tax residence from that prevailing before this outbreak.

This treatment will only apply to adjustments to the normal operating practices, and to the extent required to mitigate the threats from this outbreak.


​A company would normally hold directors’ meetings in Jersey but, to avoid travel or because individuals are self-isolating, these meetings are temporarily held virtually to allow those individuals, or alternatives, to attend.

The Comptroller would not regard this as failing to meet the economic substance test.

​Any questions on this approach should be directed to

Economic Substance, Corporate Tax residence and the implications of coronavirus

Back to top
rating button