The Cayman Islands is removed from the EU list of non-cooperative jurisdictions
The Cayman Islands has been removed from the European Union's list of non-cooperative jurisdictions for tax purposes, a decision announced on 6 October 2020 and welcomed by the Islands' government and by the rest of its financial services industry. The EU decision recognises Cayman's continuing efforts to meet its standards on tax transparency and its continued commitment to widening the regulatory framework for investment funds and the reach of anti-money-laundering supervision. Cayman had been placed on the list in February 2020, and this was the first review of the list since then. Since 2018 the Islands have adopted a series of legislative measures, among them amendments to the Mutual Funds Act and a new Private Funds Act.
8 October 2020
The Cayman Islands has been removed from the European Union's list of non-cooperative jurisdictions for tax purposes.
The Government of the Cayman Islands and other interested parties in the jurisdiction's financial services industry warmly welcomed the announcement of 6 October 2020. The EU decision recognises the continuing efforts the Cayman Islands has made to meet the EU's regulatory requirements on tax transparency, and its continued commitment to widening the regulatory framework for investment funds and the reach of anti-money-laundering supervision.
Since 2018 the Cayman Islands has taken a number of legislative steps, including amendments to the Mutual Funds Act and a new Private Funds Act, to implement new rules on the registration and regulation of investment funds in order to meet the EU's requirements on tax matters.
For tax purposes the Cayman Islands was placed on the list of non-cooperative jurisdictions in February 2020. This was the first review of that list since February 2020.
Reaction from government and industry
Responding to the news, the chief executive of Cayman Finance, the organisation representing the Cayman financial services industry, said: "The EU's recognition of the Cayman Islands as a transparent and fair tax cooperation partner is important proof of Cayman's commitment to responsible tax policy, and to maintaining a neutrality that does no harm to other countries."
The Government of the Cayman Islands welcomed the news and issued a statement. Premier Alden McLaughlin said: "The Cayman Islands has responded positively by widening the scope of our funds regime, to ensure that our financial services regulator, the Cayman Islands Monetary Authority, has the statutory power to oversee all Cayman-based investment funds."
If you have any direct questions about the above, please contact us:
Telephone: 021-68819098