Tax

Cayman gets attention from the EU. Who is next?

As the Guardian has reported:

The Cayman Islands, a British overseas territory, is to be put on an EU blacklist of tax havens, less than two weeks after the UK’s withdrawal from the bloc.

In a clear indication of the country’s loss of influence on the EU’s decision-making, the bloc’s 27 finance ministers are expected to sign off on the decision next week.

The EU’s blacklist is an attempt to clamp down on the estimated £506bn lost to aggressive tax avoidance every year but member states are not “screened” in the process of drawing up the blacklist.

I have no great faith in blacklists.

Nor, come to that, have I ever thought it right that the EU would not consider member states to be tax havens when several very clearly are.

But I did predict this consequence of Brexit for the UK’s tax havens.

All that surprises me is that Cayman is the only one to be listed now. I think there could be more.

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