Automating the Economic Substance Notification process with Viewpoint and Data Guardian for minimal data handling, structured data capture and storage, end-to-end monitoring and ease of status tracking.
The Crown Dependencies and other offshore jurisdictions, such as the BVI and the Cayman Islands, introduced a legal substance requirement for companies conducting business in or through their territories. According to the Economic Substance (“ES”) policy, all registered incorporated businesses, limited liability companies, partnerships, and foreign companies must submit an economic substance notification to their appropriate authority.
In the Cayman Islands, this requires a “relevant entity” conducting “relevant activity” to submit an ES return to the Tax Information Authority and maintain economic substance in the Cayman Islands, which could include a physical presence, staff, operations etc. As a result, service providers face operational challenges in meeting the various ES requirements and filings on behalf of their clients.
Challenges faced by service providers in ES data collection
Most service providers use an Entity Management system such as Viewpoint to store and manage ES filing details. Regardless, the process of generating reports, identifying the in-scope entities and collating prior year’s submission details can take time. The ES process varies by jurisdiction which presents its own challenges in maintaining filing data in a structured and easily referenceable way.
Service Providers typically conduct an outreach exercise to collect and validate data with their clients before to preparing the ES filing for the related entities. This is a challenging manual task given penalties often apply where filing requirements and or deadlines are not met.
Automating the ES Notification Process
Working closely with industry professionals, Vantage provides an automated solution for Economic Substance Notification processing. The ESN process can now be automated by implementing Viewpoint and Data Guardian within your business.
Key Benefits
The key benefits of the solution are.
- Minimal data handling.
- Automated client outreach and data capture.
- Structured capture and storage of ESN data as well as data reuse.
- The end-end process is proactively monitored and governed.
- Ease of status tracking with the ESN dashboard.
Contact us to learn more about how our integrated Viewpoint / Data Guardian solution can automate your ESN process.
