Following European Commission announcement that it has added Guernsey to a blacklist of non-cooperative jurisdictions, the EU institution now made a U-turn.
As Guernsey Finance confirmed today, a meeting between officials in Brussels resulted in the Commission continuing to endorse the crown dependency as a cooperative jurisdiction.
As InvestmentEurope reported earlier, in order to be added to the Commission tax blacklist of non-cooperative jurisdictions, a country needs to be on at least 10 blacklists of EU member states.
Guernsey was listed as non-compliant by Belgium, Bulgaria, Croatia, Estonia, Greece, Italy, Lithuania, Portugal, Spain and Poland.
However, the decision was criticised by the OECD, which identified Guernsey as “cooperative” just weeks after the Commission announcement.
Dominic Wheatley, chief executive of Guernsey Finance – the promotional agency for the Island’s finance industry internationally, said: “We welcome the EU’s endorsement of Guernsey as a cooperative jurisdiction which is fully consistent with the findings of its Code of Conduct Group on Corporate Taxation in 2012. This clarification should give full confidence to all those looking to do business in Guernsey and enjoy the high quality of the financial business environment here.”