The EU’s Economic and Financial Affairs Council (ECOFIN) has decided to remove Marshall Islands from the EU list of non-cooperative jurisdictions for tax purposes.
In particular, at a meeting of the EU Code of Conduct Group on 3 October, Member States reviewed and positively assessed the RMI’s enforcement of the substance requirements, leading to said decision. The RMI has engaged in an open, transparent dialogue with the EU and made every effort to fully clarify, enact, follow-up, and monitor the implementation of its commitments to the EU.
What is the EU list?
This EU list of non-cooperative tax jurisdictions includes countries that either have not engaged in a constructive dialogue with the EU on tax governance or have failed to deliver on their commitments to implement the necessary reforms. Those reforms should aim to comply with a set of objective tax good governance criteria, which include tax transparency, fair taxation and implementation of international standards designed to prevent tax base erosion and profit shifting.
We are extremely pleased to hear that the Marshall Islands’ enhanced enforcement measures have been met positively by the EU. We take this opportunity to reiterate that the Marshall Islands unequivocally commits to cooperating with the EU and fully aligning with the EU on economic substance standards
… said said RMI Minister of Finance, Casten Nemra
To remind, the RMI’s maritime registry is consistently held in high regard worldwide. It has maintained Qualship 21 status with the United States Coast Guard for 19 consecutive years. Furthermore, the RMI is white listed with the Paris and Tokyo Memorandums of Understanding.
