EU Removes Antigua and Barbuda from the List of Non-Cooperative Tax Jurisdictions

| Image Credits: "St Johns Antigua" by Matt H. Wade

October 8, 2024, the Council of the European Union has announced the removal of Antigua and Barbuda from its list of non-cooperative jurisdictions for tax purposes.

Following this update, the list now includes 11 jurisdictions:

• American Samoa
• Anguilla
• Fiji
• Guam
• Palau
• Panama
• Russia
• Samoa
• Trinidad and Tobago
• US Virgin Islands
• Vanuatu

The Council expressed concern that these jurisdictions continue to fall short in their tax cooperation efforts and urged them to take steps to improve their legal frameworks in line with international standards.

WHY ANTIGUA AND BARBUDA WAS REMOVED

Antigua and Barbuda was added to the EU’s list in October 2023 due to a negative review by the OECD Global Forum, which highlighted shortcomings in the country’s ability to exchange tax information on request. Since then, Antigua and Barbuda has implemented reforms to address these concerns. As a result, the OECD Global Forum has agreed to conduct a supplementary review of its progress. In the meantime, Antigua and Barbuda has been moved to Annex II, which recognizes jurisdictions that are working towards compliance with EU tax governance standards.

PROGRESS FROM FIJI AND PALAU

The Council also acknowledged positive steps taken by Fiji and Palau, two jurisdictions that have been on the list for a longer period. Both countries have made progress in aligning their tax policies with EU requirements, and their efforts have been reflected in updated entries on the list.

ANNEX II: RECOGNIZING ONGOING COOPERATION

Alongside the revised list, the Council approved an updated state-of-play document (Annex II), which highlights ongoing cooperation between the EU and various international partners. Annex II recognizes jurisdictions that are actively reforming their tax policies to meet agreed-upon governance standards.

Notably, Armenia and Malaysia were removed from Annex II after amending harmful tax regimes, signaling their full compliance with EU tax standards. Meanwhile, Vietnam has been given additional time to meet its commitments related to country-by-country reporting, with a reassessment scheduled for February 2025.

BACKGROUND ON THE EU LIST OF NON-COOPERATIVE JURISDICTIONS

The EU’s list of non-cooperative tax jurisdictions was first established in December 2017 as part of the EU’s broader strategy to promote global tax good governance. The list is based on a set of criteria that evaluate jurisdictions on tax transparency, fair taxation, and adherence to international standards aimed at preventing tax base erosion and profit shifting.

The list is updated twice a year by the Council, with the next revision expected in February 2025. These updates are overseen by the Code of Conduct Group, which works in collaboration with international organizations such as the OECD Forum on Harmful Tax Practices to encourage reforms and ensure compliance with global tax standards.

SOURCE/RECOMMENDED READ: 

• Taxation: Antigua and Barbuda removed from the EU list of non-cooperative jurisdictions for tax purposes - Consilium (europa.eu)