Core income generating activities required in Belize, etc

(1) An included entity shall conduct its core income generating activities in Belize. (2) Core income generating activities of an included entity shall include adequate– (a) amounts of annual operating expenditure; (b) number of qualified full-time employees; and (c) physical offices. (3) Where any part of the core income generating activities are outsourced there must be adequate– (a) amounts of annual operating expenditure; (b) number of qualified full-time employees; and (c) physical offices, Economic Substance [CAP. 273:01 13 within Belize, and the included entity shall, pursuant to section 7, supervise and control the carrying out of that activity by the other entity. (4) The core income generating activities referred to in sub- section (2) may include the following if carrying on the business of– (a) banking– (i) the raising of funds, managing risk including credit, currency and interest risk; (ii) taking hedging positions; (iii) providing loans, credits or other financial services to customers; or (iv) managing regulatory capital, and preparing regulatory reports and returns; (b) insurance– (i) the predicting and calculating of risk; or (ii) insuring or re-insuring against risk, and providing client services; (c) fund management– (i) the taking of decisions on the holding and selling of investments; (ii) calculating risks and reserves; (iii) taking decisions on currency or interest fluctuations and hedging positions; and 14 (iv) preparing relevant regulatory or other reports for government authorities and investors; (d) financing or leasing– (i) the agreeing of funds terms; (ii) identifying and acquiring assets to be leased, in the case of leasing; (iii) setting the terms and duration of any financing or leasing; (iv) monitoring and revising any agreements; and (v) managing any risk; (e) headquarters– (i) the taking of relevant management decisions; (ii) incurring expenditures on behalf of group entities; and (iii) coordinating group activities; (f) a distribution and service centre– (i) the transporting and storing of goods; (ii) managing stocks and taking orders; and (iii) providing consulting or other administrative services; or (g) shippingEconomic Substance [CAP. 273:01 15 (i) the managing of the crew, including hiring, paying, and overseeing crew members; (ii) hauling and maintaining ships; (iii) overseeing and tracking deliveries; and (iv) determining what goods to order and when to deliver them and organizing and overseeing voyage.