The Cayman Islands government has made significant amendments to the emergency ‘economic substance’ legislation enacted at the end of 2018, to satisfy the European Union’s Code of Conduct Group (Business Taxation).
New clauses have been gazetted extending the act's definition of ‘relevant entities’ to cover all non-domestic companies that are tax-resident in the Cayman Islands, regardless of the place of their central management and control. However, the specific exclusion for investment funds remains.