EU removes Panama from list of non-cooperative jurisdictions

The European Union has removed Panama from the list of non-cooperative jurisdictions for tax purposes of the European Union, as a result of the Central American country establishing regulations and meeting requirements in matters of fiscal transparency.

Ninety-two countries were evaluated according to their fiscal transparency, good governance and real economic activity, and the existence of a zero corporate tax rate.

The EU evaluated the progress of Panama in terms of transparency and tax cooperation, assessing aspects such as the adoption of the automatic exchange mechanism consistent with the objectives of the Common Reporting Standard, promoted by the Global Forum of the Organization for Economic Cooperation and Development (OECD).



Panama’s adherence to the Convention on Mutual Administrative Assistance in Tax Matters, and the Inclusive Framework of the Project on the Erosion of Taxable Bases and the Transfer of Benefits (BEPS) was also taken into consideration.