The European Union withdraws Switzerland from its list of tax havens

The European Union withdraws Switzerland from its list of tax havens

Switzerland was part of the so-called “gray” list of the EU. It changes status with the entry into force of a tax reform dating from 2018.

Geneva city center (Switzerland), January 3, 2013 (MAXPPP)

From gray to white. The 28 member states of the European Union on Thursday 10 October withdrew Switzerland from their so-called list “grey” tax havens, believing that it “Complies with all commitments in terms of tax cooperation”. Switzerland was part of this review of bad students in tax matters having made commitments not yet materialized since December 2017, date of the creation of this gray list.

Switzerland adopted a tax reform in October 2018, but its implementation and entry into force had been delayed due to a referendum. The changes have now entered into force and will be applied from January 1, 2020. Apart from Switzerland, four countries have also left this gray list: Albania, Costa Rica, Mauritius and Serbia.

“It still offers low rates”

“The best list is the shortest”, welcomed Pierre Moscovici, the European Commissioner for Economic Affairs. For its part, the NGO Oxfam, which fights against tax evasion, regretted this decision on the part of the finance ministers of the European Union. “Switzerland has abolished its preferential tax regimes, but it still offers companies significant tax incentives and low rates. This will likely continue to attract companies looking to avoid paying their fair share of tax ”, she said in a press release.