European Union Removes Panama and Vietnam from List of Non-Cooperative Tax Jurisdictions

Brussels, Oct 9 (KUNA) -- The European Council announced on Friday the removal of Panama and Vietnam from the list of non-cooperative jurisdictions for tax purposes, following progress by both countries in meeting international standards for tax governance. In a statement, the Council said, “This update reflects a positive trend in compliance with international standards for good governance in the tax field.” It added that “Panama’s removal from the list came after a review by the Global Forum on Transparency and Exchange of Information for Tax Purposes, under the Organisation for Economic Co-operation and Development (OECD), regarding its compliance with international standards on the exchange of tax information on request.” The Council clarified that “Panama also carried out reforms to its tax exemption system, particularly concerning income from foreign sources.” It noted that Vietnam was removed from the list after implementing a series of reforms. Under the new update, the list of non-cooperative jurisdictions for tax purposes includes eight jurisdictions: American Samoa, Anguilla, Guam, Palau, Russia, the Turks and Caicos Islands, the U.S. Virgin Islands, and Vanuatu. The European Union had previously removed Panama from the list in 2018 before re-listing it in 2020 amid concerns over its compliance with international tax standards. (End) A.R.N. / A.M.S.