European Union adopts blacklist of 17 tax havens

       Queen's estate invests in offshore tax havens

Fondi said officials in Brussels were still discussing what the full consequences for the UAE of being listed would be.

Potential countermeasures that have been tabled on behalf of the European Commission, include limiting access for listed jurisdictions to the European Fund for Sustainable Development, as EU-28 level measures, while the member states could on a country to country bass reinforce monitoring of transactions, increase audit risks for taxpayers benefiting from the regimes at stake or for those using structure involving these jurisdictions.

In a blow to activists, states that charge no corporate tax are not automatically considered at risk of breaching European Union tax criteria.

"It's an important continuation of the recent years' clear breakthrough in the global fight against tax evasion".

The issue has come under scrutiny in the past years following the release of the Panama Papers and Paradise Papers documents which show how corporations and individuals avoid paying taxes through tax havens such as Panama, the Bahamas, the US Virgin Islands.

The EU reportedly put South Korea on the list citing lack of transparency in the country's tax benefits for foreign companies investing in its free economic zones and foreign investment zones.

It has also taken legal action against major firms including Amazon that have been accused of owing back taxes. The bloc has previously accused the Netherlands and Ireland of granting special tax treatment to Starbucks and Apple, respectively. British overseas territories and crown dependencies, such as the Cayman Islands and Bermuda, were featured on this, despite being involved in numerous tax avoidance schemes. Some did so by promising to clean up their act.

As for the Vice President Valdis Dombrovskis that also attended the meeting on behalf of the EU executive, he said that as a number of third countries have entered into commitments as regard to good tax governance and the European Commission "will be following up those commitments". "Tax dodging means less money available for healthcare, education and the fight against poverty".

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