Published 4th January 2019, 1:35pm
The Cayman Islands Government regrets that the Kingdom of The Netherlands has chosen to break from other EU Member States to pursue a “blacklist” of 21 jurisdictions, including the Cayman Islands, based solely on the criteria of having a lower corporate tax rate than any EU Member State.
This “blacklisting” does not take into account Cayman’s demonstrated adherence to international standards for tax transparency, or participation with the OECD’s BEPS Inclusive Framework, and ignores our engagement with the EU’s Code of Conduct Group over the last two years to address their concerns regarding economic substance.
The Cayman Islands Government regrets the unjustified “blacklisting” and rejects it as wholly lacking in fairness and credibility. It is unfortunate that The Netherlands has chosen to attempt to divert criticism of its own tax practices by attacking the legitimate tax regimes of other jurisdictions.
Putting aside this unfortunate action, the Cayman Islands continues its longstanding commitment to adhering to global standards, and to working with the global community to improve their effectiveness.