Thursday

29th Feb 2024

Bermuda and BVI face EU pressure on tax reform

  • Bermuda, which will now be on an EU grey-list (Photo: Mike Oropeza)
Listen to article

​The European Union is expected to add Bermuda, the British Virgin Islands (BVI), Israel and Russia to a so-called grey-list of tax-havens, according to a draft version seen Wednesday (9 February) by EUobserver.

The grey-list, which is to grow from 15 to 25 jurisdictions, is to be adopted by EU ministers on 24 February, the EU Council said.

Read and decide

Join EUobserver today

Get the EU news that really matters

Instant access to all articles — and 20 years of archives. 14-day free trial.

... or subscribe as a group

  • The British Virgin Islands: the British protectorate was at the heart of the Panama Papers revelations (Photo: JaguarJulie)

Countries included in the list are judged by the EU not to have met promises on tax reform. Inclusion also can represent a public relations headache for those listed.

The grey-list is published alongside a so-called blacklist of the worst-offenders that face EU sanctions. But the blacklist is expected to stay unchanged this month.

Tax-reform campaigners cautiously applauded the news.

"If the [new] grey-listing ... is confirmed, we will see some real tax-havens finally at risk to be blacklisted [in future]," Chiara Putaturo of Oxfam told EUobserver.

She said the inclusion of 10 more countries on the grey-list was due to a modification of the EU criteria.

"However, there are still other tax havens that are left off the hook ... such as the Cayman Islands, because the criteria remain weak," she said.

There were 676 BVI-registered offshore companies in Pandora Papers last year - the latest in a line of leaks revealing the scale of global tax evasion.

The second highest number - 102 - was in Panama, a country that is already on the EU blacklist.

Hungary and Estonia blocking EU tax reform

Hungarian and Estonian diplomats have blocked a revised set of tax rules, potentially derailing an effort to curb the race for ever-lower corporate taxes in the EU.

Opinion

The macabre saga of Navalny's corpse

With Alexei Navalny's funeral in Moscow on Friday, Vladimir Putin's regime haven't just insulted his mother and widow with their treatment of his corpse — they've breached international treaties and conventions.

Latest News

  1. Putin's nuclear riposte to Macron fails to impress EU diplomats
  2. EU won't yet commit funding UN agency in Gaza amid hunger
  3. EU Commission clears Poland's access to up to €137bn EU funds
  4. Right of Reply: The EU-ACP Samoa agreement
  5. The macabre saga of Navalny's corpse
  6. Belgium braces for Flemish far-right gains, deadlock looms
  7. Podcast: Hyperlocal meets supranational
  8. Von der Leyen appeals for 'new EU defence mindset'

Stakeholders' Highlights

  1. Nordic Council of MinistersJoin the Nordic Food Systems Takeover at COP28
  2. Nordic Council of MinistersHow women and men are affected differently by climate policy
  3. Nordic Council of MinistersArtist Jessie Kleemann at Nordic pavilion during UN climate summit COP28
  4. Nordic Council of MinistersCOP28: Gathering Nordic and global experts to put food and health on the agenda
  5. Friedrich Naumann FoundationPoems of Liberty – Call for Submission “Human Rights in Inhume War”: 250€ honorary fee for selected poems
  6. World BankWorld Bank report: How to create a future where the rewards of technology benefit all levels of society?

Join EUobserver

EU news that matters

Join us