E.U. Includes U.S. on List of Potential Tax Havens
The European Commission views the United States as a potential tax haven, according to a draft list of 90 countries that Brussels views as problematic.
Countries on the list, obtained by Handelsblatt, are categorized based on three risk factors – transparency of the tax system, tax advantages for corporations and a zero-percent income tax.
Brussels views the United States as fulfilling the first two risk factors, putting Washington in the same category as Brazil, Panama, Singapore and Malaysia.
The E.U. council of finance ministers plans to write the 90 countries on the list this week to start a dialogue about tax policy. That letter will go to the Trump administration as well.
The council plans to decide on a finalized list by the end of the year.
Four other developed nations will also receive a letter from the E.U. finance ministers – Japan, Norway, Australia and Canada. But they are not considered at risk of becoming tax havens.
Source: Handelsblatt Global