The EU has published it's tax haven list. This is it with reasons given:
I groaned when reading that. Of all the places listed Panama may be of concern, and perhaps the UAE. Of the rest, none are functioning tax havens, and everyone knows it.
None of the EU tax havens are there. The UK, Ireland, The Netherlands, Malta, Luxembourg and Cyprus all deserved to be listed.
So too, because of their role as sink locations for international financial capital did the British Virgin Islands, Jersey, the Cayman Islands and a host of other locations, but you can look in vain.
And trust me, I have looked at the commitments given by places to get themselves off this list. Most of those who have given commitments are as obscure in tax haven terms as those noted here:
It is only when it came to commitments made to remove tax regimes that allow the location of profit without there being any related economic substance that there is a meaningful list of locations noted as having made a commitment to reform their practices:
So, Bermuda, the Cayman Islands, Guernsey, the Isle of Man, Jersey and Vanuatu (with the last being pretty irrelevant) are, in effect, going to have to remove their zero rate corporation tax regimes that permit profits earned elsewhere in the world to be recorded in their locations without any questions being asked. If any of those regimes really change as a result of those commitments then something of real substance may come out of this process. I would hope that the British Virgin Islands are added to the list in due course and are currently omitted simply because of disaster recovery issues.
But, let me be candid, the list of headlined noncooperative states published today by the EU looks fairly meaningless. It is only in this one paragraph, number 2.2., that anything substantial is offered. And the fact that the EU has ignored its own abusive states undermines much of the credibility that this list might have. That makes this a disappointment for all those who have campaigned for tax haven reform, even if the writing is on the wall for at least five British tax havens.
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[…] http://www.taxresearch.org.uk/Blog/2017/12/05/the-writing-is-on-the-wall-for-five-british-tax-havens… […]
Well Jersey is not on there Richard.
Only shows your labeling is always wrong.
Read para 2.2
It’s there
And it’s a death knell for Jersey
Naaa!
We will still be okay.
Oh no you won’t
Don’t count your chickens …. while Jersey may appear compliant with the majority of tax criteria, the Island’s zero percent corporate tax rate could still be a major sticking point for the EU authorities.
The PSG hopes and prays that it will be!
Lewis clearly forgetting it’s panto season there… 🙂
So the Isle of Man has made a commitment to reform practices which to be of real substance means (as you remark) committing to removing their zero rate corporation tax which permits profits earned elsewhere to be recorded on the island.
The Isle of Man is addicted to a milieu of secrecy and opacity; it has provided easy money for the government for a number of years. But the smoke screen of sophisticated propaganda is designed to be swallowed by the entire world … which includes the innocent indigenous inhabitants often with no connection to banking/finance.
These people are real victims as they face a loss of income and realisation that their island home is not the innocent place of good repute after all. The callous “tax evasion industry” will shrug this off as unintended collateral damage … whereas in an honourable world it should be forced to pay compensation for the damage it has inflicted.
However never believe anything these people say until it actually happens!
[…] I have already noted today, there is much to regret about the EU’s new tax haven blacklist. That is, however, one […]
[…] It is Jersey’s claim that the only list that exists is of 17 jurisdictions, as noted here on Tuesday. […]