Under the British Virgin Islands Economic Substance Act of 2018, economic substance is met when:
(a) the relevant activity is directed and managed in the Virgin Islands;
(b) having regard to the nature and scale of the relevant activity;
(i) there are an adequate number of suitably qualified employees in relation to that activity who are physically present in the Virgin Islands;
(ii) there is adequate expenditure incurred in the Virgin Islands;
(iii) there are physical offices or premises as may be appropriate for the core income-generating activities; and
(iv) where the relevant activity is intellectual property business and requires the use of specific equipment, that equipment is located in the Virgin Islands.