The Jebel Ali Free Zone (JAFZA), a leading free zone of Dubai released new deadlines for the 2020 reportable period. These revised closing dates are for the submission of Notification and Economic Substance Report (ESR) by businesses under the Economic Substance Regulations.
The Economic Substance Regulations UAE also require onshore and free zone companies and certain other business forms carrying out stipulated relevant activities to submit an annual Notification form and ESR to their relevant regulatory authority. The relevant activities include:
- Banking
- Investment Fund management
- Lease – Finance
- Headquarters
- Shipping
- Holding Company
- Intellectual property
- Distribution and Service Centre
JAFZA has also extended these deadlines for firms falling under its regulatory realm. The new deadlines are the later of six months after the financial year-end for the Notification Form and the later of 12 months after the financial year-end for ESR. Nonetheless, JAFZA requests the businesses to file both the documents as soon as possible and not wait for the cut-off dates. Moreover, it reminds businesses to submit these documents on the portal of the Ministry of Finance.
The new deadlines as per the financial year-end dates are as follows:
| Financial year-end | Notification filing deadline | ESR filing deadline |
|---|---|---|
| March 31, 2020 | January 31, 2021 (extended deadline) | March 31, 2021 |
| April 30, 2020 | January 31, 2021 (extended deadline) | April 30, 2021 |
| May 31, 2020 | January 31, 2021 (extended deadline) | May 31, 2021 |
| June 30, 2020 | January 31, 2021 (extended deadline) | June 30, 2021 |
| July 31, 2020 | January 31, 2021 | July 31, 2021 |
| August 31, 2020 | February 28, 2021 | August 31, 2021 |
| September 30, 2020 | March 31, 2021 | September 30, 2021 |
| October 31, 2020 | April 30, 2021 | October 31, 2021 |
| November 30, 2020 | May 31, 2021 | November 30, 2021 |
| December 31, 2020 | June 30, 2021 | December 31, 2021 |
| January 31, 2021 | July 31, 2021 | January 31, 2022 |
| February 28, 2021 | August 31, 2021 | February 28, 2022 |
| March 31, 2021 | September 30, 2021 | March 31, 2022 |
| April 30, 2021 | October 31, 2021 | April 30, 2022 |
| May 31, 2021 | November 30, 2021 | May 31, 2022 |
| June 30, 2021 | December 31, 2021 | July 31, 2022 |
With the new deadline dates, businesses in JAFZA must also ensure to comply with the reporting and submission as soon as possible to avoid any compliance violations and resulting fines and penalties.
If you are seeking support in filing and submission of these documents or need any other assistance in compliance with ESR regulations, you may get in touch with NR Doshi & Partners.
We are a leading ESR advisory services provider in UAE. Our range of ESR services offers determining ESR applicability, ensuring compliance with ESR, taking corrective actions in case of non-compliance. It also includes establishing ESR-compliance policies and procedures, assistance in filing notifications and ESR, and training employees in ESR regulations and policies. Our team of experienced professionals and compliance experts make sure that our clients do not have to worry about any ESR compliance issues. We always remain updated with ESR guidelines and notifications applicable to each free zone and mainland company so that you achieve ESR compliance with zero effort.
Worried about your ESR compliance issues? Just take one step and you will be free from the worries. Give us a call and we will manage the rest.
