Economic Substance Regulations (ESR) Dubai

Stay Compliant with ESR Filing in UAE

Introduced in 2019, the Economic Substance Regulations (ESR) were implemented by the UAE government to align with global standards set by the OECD and the EU. These regulations require certain businesses to maintain adequate economic presence in the UAE and to submit ESR filings annually.

Whether your business operates as a mainland company, free zone entity, or an offshore firm, if you engage in any of the Relevant Activities defined under ESR, compliance is mandatory. Failure to comply can lead to severe penalties, license suspensions, and reputational risks.

At Alamtar, we help businesses across the UAE fulfill their ESR obligations, including impact assessment, notifications, reporting, and filing — ensuring you stay fully compliant.

ESR Services We Offer

  • Evaluation of ESR applicability
  • Gap analysis and compliance roadmap
  • Filing ESR Notifications & ESR Reports
  • Documentation and reporting assistance
  • Strategic restructuring guidance for compliance
  • Ongoing advisory on ESR updates

Relevant Activities Under ESR

  • Banking Business
  • Insurance Business
  • Fund Management Business
  • Lease-Finance Business
  • Headquarters Business
  • Shipping Business
  • Holding Company Business
  • Intellectual Property Business
  • Distribution & Service Centre Business

Who Needs to File ESR?

  • Any UAE mainland, free zone, or offshore entity that earns income from a Relevant Activity must:
  • Submit an ESR Notification annually
  • File an ESR Report if not exempt
  • Demonstrate substantial activities, including local staff, expenditure, and physical presence
  • Exempt entities must still notify and submit valid supporting documents.

Non-Compliance Risks

  • Penalties ranging from AED 20,000 to AED 400,000
  • Suspension or revocation of trade license
  • Increased regulatory scrutiny
  • Reputational damage

Why Choose Alamtar?

Contact Alamtar today and ensure your business remains compliant with the UAE’s ESR framework. Our experts will guide you through the process efficiently.

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