EU Added the Caribbean Islands and Barbados to the Blacklist of Tax Havens
EU finance ministers have added the Caribbean islands of Anguilla and Barbados to the blacklist of tax havens. The Cayman Islands and Oman have been pulled because they have implemented reforms in their tax laws, they say.
The blacklist, which was first drawn up in December 2017, only includes countries and territories outside the European Union.
These are countries and regions where the authorities levy (almost) no corporate tax, are not transparent and are unwilling to fight against tax avoidance.
The others already blacklisted are Fiji, American Samoa, Guam, the US Virgin Islands, Trinidad and Tobago, Seychelles, Vanuatu, Samoa, Palau and Panama. The list is revised twice a year.
Countries are expected to adapt their tax laws to European requirements to address risks such as tax avoidance and unfair tax competition.
The Cayman Islands, a British overseas territory, was blacklisted in February, less than three weeks after Brexit.
Development organization Oxfam welcomes the addition of Anguilla and Barbados but states that the recent acquisition and now removal of the Cayman Islands shows that the list is not working. According to Oxfam, the Cayman Islands have a corporate tax of 0 percent.