Wednesday, 24 June 2015

EU's new tax blacklist: Hong Kong's displeasure

A statement has been issued by the Government of Hong Kong on 18 June 2015 expressing disappointment on being included in the European Union’s tax blacklist. It claimed that Hong Kong has always been supportive of international efforts to enhance tax transparency and they are bewildered that the EU has regarded the territory as non-tax cooperative.

The European Commission's new Corporate Tax Reform Action Plan included the EU tax blacklist which features those territories that are included on 10 or more EU member state blacklists.



Hong Kong announced that they were denied an opportunity to clarify its position before the blacklisting. 

Currently, Hong Kong has 32 double tax agreements (DTAs) and 7 tax information exchange agreements (TIEAs). 13 signed with EU member states and 5 more in negotiation.
The Government has urged the European Commission to review with member states their lists of non-cooperative tax jurisdictions to reflect the latest developments in Hong Kong's tax co-operation with those jurisdictions. 

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