Guernsey’s tax authorities have published updated guidance on economic substance regulations. Having been placed on the EU's whitelist at the earliest opportunity in the process in March 2019, the island is seeking to reinforce its image as compliant.

All Guernsey tax-resident companies need to confirm they meet updated substance requirements, in line with directives from the EU Code of Conduct Group. They must demonstrate that profits generated by companies falling within the scope of the requirements correspond with their economic activities and presence in Guernsey. 

Companies must also: be “directed and man...