The Macau government welcomed the removal of the special administrative region from the European Union list of tax havens and added that it would continue to cooperate with the international community to jointly combat cross-border tax evasion and avoidance, as well as actively promote work to improve tax transparency and justice.
The statement issued by the government spokesman said that the decision to classify Macau as one of the non-cooperative tax jurisdictions taken by the EU on 5 December 2017 “was unilateral and partial, which does not correspond to the real situation of Macau”
“The Macau Government has actively maintained its contact with the EU by clarifying its position and explaining the progress made in extending the application of the Multilateral Convention on Mutual Assistance in Tax Matters to the territory, as well as the deadline laid down for its implementation, so that this subject could be properly dealt with,” the statement said.
The statement adds that the central government of China has authorised Macau to enter into the Multilateral Agreement of Competent Authority and that procedures to extend the application of the Multilateral Convention on Mutual Assistance in Tax Matters to Macau are in the final phase.
According to the statement, Macau will be able to automatically exchange information on financial accounts with other tax jurisdictions, including all EU member states and at the same time improve the legal regime applicable to offshore activity, with a view to further promoting tax restructuring.
The 28 EU finance ministers on Tuesday in Brussels decided to remove eight countries and territories from the blacklist of tax havens – Panama, South Korea, the United Arab Emirates, Tunisia, Mongolia, Macau, the islands of Grenada and Barbados – and include them in the so-called greylist.
Until Tuesday the greylist had 47 countries and territories that are “closely followed” by the European Union, which will decide by the end of the year whether or not to return to them to the blacklist, depending on the effective implementation of the respective reform programmes. (macauhub)