ESR Notification!
The UAE introduced Economic Substance Regulations effective as of 1 January 2019. Businesses are now close the filing the requirements, in this article, find the guidelines on how, where, and when to file and what is required to file.
The ESR compliance is composed of 2 steps:
1. The ESR Notification filing.
2. The ESR Annual Return/Report filing.
Businesses are required to file all requirements to the Relevant Authority who issued the license (Trade License). We highly recommend getting in touch with relevant authority to seek guidance on filing the notification and return, in broad terms the requirements are almost similar, however, there may be slight variations.
Keeping above in mind, licensees must monitor and follow the instructions issued by the respective authorities. The authorities which are not ready yet, we suggest keeping in constant touch with them.
In order to avoid non-compliance and possible penalties, it is important to conduct an ESR assessment of UAE entities including all branches/subsidiaries, whether they fall under ESR!
It is important for entities to conduct the ESR test to demonstrate Substance in UAE. Failing which means non-compliance with ESR requirements!
Are you Ready!
Ask following questions, if the answer is yes, you are all good:
a. Did you conduct an ESR Assessment?
b. Is your business fall under ESR?
c. If yes to point b, is your substance is in UAE?
d. Did you conduct ESR Tests to demonstrate Substance in UAE?
How Consultants can Help!
If you are still confused with ESR requirements and need support to make sure you are 100% in compliance, consider seeking the support of a consultant in the market. Bens Chartered Accountants is helping business across UAE in:
a. ESR Assessment covering legal structure & revenue.
b. ESR Test satisfaction and recommendations.
c. Notification filing as per below dates, and
d. Annual Return filing for entities falls under ESR
Below is the table of ESR Notification filing requirements from various authorities for your quick reference:
| Authority | Emirates | Who | How | When | Comments |
| ADMG | Abu Dhabi | Only Licenses carrying Relevant Activities | DAFZ Portal | 30-Jun-20 | Portal is ready, contact the authority |
| Media FZ | Abu Dhabi | All Licenses irrespective of conducting Relevant Activities or not | Online | 30-Jun-20 | https://forms.office.com/Pages/ResponsePage.aspx?id=OHErqbU5d0CS8KZtjTpmZLzVf4vuvmtJtCQTnIT1oVlUNDc0NVpENVhPMllTVDhNSkZKSkpWTE9NNi4u |
| Ajman FZ | Ajman | All Licenses irrespective of conducting Relevant Activities or not | Via email | 30-Jun-20 | info@afz.ae |
| DMCC | Dubai | All Licenses irrespective of conducting Relevant Activities or not | DMCC Portal | 30-Jun-20 | https://www.dmcc.ae/free-zone/support/compliance-and-regulations |
| Securities & Commodity Authority (SCA) | Dubai | SCA is in communication with licenses, follow the instructions | Via email | 30-Jun-20 | fms@sca.ae |
| DIFC | Dubai | All Licenses irrespective of conducting Relevant Activities or not | DIFC Portak | 30-Jun-20 | Portal is ready, contact the authority |
| MOE | Dubai | Only Licenses carrying Relevant Activities | Online | 30-Jun-20 | https://msurvey.government.ae/survey/Ministry%20of%20Economy/clf/ |
| Dubai Health Care Authority (DHCC) | Dubai | Only Licenses carrying Relevant Activities | DHCC Portal | 07-Jun-20 | Portal is ready, contact the authority |
| Dubai Aviation City Corporation | Dubai | All Licenses irrespective of conducting Relevant Activities or not | Via email | 07-Jun-20 | economic.substance@dacc.ae |
| DWTC | Dubai | Only Licenses carrying Relevant Activities | Via email | 30-Jun-20 | info@dwtcauthority.com |
| DSO | Dubai | All Licenses irrespective of conducting Relevant Activities or not | Via email | 09-Jun-20 | lic_section@dso.ae |
| DDA | Dubai | Only Licenses carrying Relevant Activities | DDA Portal | 25-Jun-20 | https://tecomgroup.cmail19.com/t/i-l-xduthx-jiilhitijj-r/ Note: Entities has to request DDA to open ESR form under this login |
| DAFZ | Dubai | All Licenses irrespective of conducting relevant activities or not | DAFZ Portal | 30-May-20 | Submission date already passed |
| IFZA | Fujairah | Only Licenses carrying Relevant Activities | Online | 30-Jun-20 | https://forms.zohopublic.com/ifzafjr/form/EconomicSubstanceNotification/formperma/PrbD9zySxjDFDVIqiq9h0drXbCPZ6SpIrpGIVpRw5RY |
| RAK ICC | RAK | All Licenses irrespective of conducting Relevant Activities or not | Via portal by a registered Agent only | 30-Jun-20 | Portal is ready, contact the authority |
| RAKEZ | RAK | All Licenses irrespective of conducting Relevant Activities or not | RAKEZ Portal | 30-Jun-20 | Portal is ready, contact the authority |
| SAIF Zone | Sharjah | Only Licenses carrying Relevant Activities | Contact SAIF Zone | 30-Jun-20 | Contact SAIF Zone |
| Hamriay FZA | Sharjah | Only Licenses carrying Relevant Activities | Contact HFZA | 30-Jun-20 | Contact HFZA |
Leave A Comment