The EU included Russia in the “black list” of tax jurisdictions

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The European Union has included Russia in the "black list" of jurisdictions that do not cooperate on tax issues. This could mean tightening controls and inspections.

The updated list of "non-cooperative tax jurisdictions" (Annex I, or "black list" of tax jurisdictions) includes countries that either do not engage in a constructive dialogue with the EU on tax administration issues or do not fulfill their obligations to implement the necessary reforms, according to the website of the European Council . Together with Russia on Tuesday, February 14, the British Virgin Islands, Costa Rica and the Marshall Islands were included in the "black list".

For all four, a specific reason is spelled out. With regard to Russia, the reason was last year's law on international holding companies, allowing them to use internal offshore companies (regime of SARs, special administrative regions), as well as the termination of the dialogue of tax authorities in connection with the war in Ukraine.

In total, there are now 16 jurisdictions on the "black list". They, among other things, face reputational risks and an increased level of control over financial transactions, notes . Reuters