Update blacklist of tax havens in the European Union

During the month of February 2020, the European Union, through the Ministers of Economy and Finance (ECOFIN), have published the new black list of tax havens, which have included 4 new jurisdictions: Panama (which comes back after have left in 2018), Palaos, Seychelles and Cayman Islands.

With these new additions, the current list consists of 12 countries: American Samoa, Fiji, Guam, Oman, Samoa, Trinidad and Tobago, US Virgin Islands and Vanuatu, in addition to those indicated above.

The consequences of belonging to this list are that the EU countries consider these territories as non-cooperating in tax matters, which imposes greater vigilance on their financial and tax relations and limitations on the channeling of funds and subsidies that come from the EU, in addition to the reputational damage that may occur.

In addition to the extension of the blacklist, there have been modifications in some countries that are members of the gray list, such as Antigua and Barbuda, Bahamas, Barbados, Belize, Bermuda, Curacao, British Virgin Islands, which have been deleted from the list having met the standards required for good fiscal governance.