Panama and Vietnam removed from the EU list of non-cooperative jurisdictions for tax purposes

Panama and Vietnam EU tax list 2026: on 9 October 2026, both jurisdictions were removed from Annex I of the European Union (EU) list of non-cooperative jurisdictions for tax purposes and transferred to Annex II. They remain subject to monitoring. For businesses operating in Poland, the EU classification must be checked separately from Polish domestic tax rules.

Why were Panama and Vietnam removed from Annex I?

The Council of the European Union removed Panama and Vietnam from Annex I after both jurisdictions took measures to address previously identified concerns.

They were transferred to Annex II, which covers jurisdictions cooperating with the EU while remaining under monitoring.

In both cases, an in-depth review of their tax information exchange frameworks by the Global Forum on Transparency and Exchange of Information for Tax Purposes is expected.

The Council also noted that:

• Vanuatu remains in Annex I despite progress on tax transparency because concerns persist in another area.
• Anguilla continues to face concerns regarding its tax information exchange framework.

Which jurisdictions remain in Annex I?

Following the update of 9 October 2026, Annex I contains eight jurisdictions:

1. American Samoa
2. Anguilla
3. Guam
4. Palau
5. Russian Federation
6. Turks and Caicos Islands
7. US Virgin Islands
8. Vanuatu

The list is periodically updated according to jurisdictions’ compliance with international tax standards.

What changed in Annex II?

The Council also revised Annex II, covering jurisdictions cooperating with the EU on tax good governance while remaining subject to monitoring.

The key changes are:

• Panama and Vietnam – transferred from Annex I to Annex II.
• Belize – removed from Annex II after meeting requirements related to the exchange of tax information on request.
• Montenegro – remains under monitoring pending publication of the outcome of an in-depth review.
• Brunei – received additional time to align its tax framework with fair taxation principles.

Following the update, Annex II contains ten jurisdictions: British Virgin Islands, Brunei, Eswatini, Greenland, Jordan, Montenegro, Morocco, Panama, Türkiye and Vietnam.

What does the change mean for businesses in Poland?

Removal from Annex I does not automatically eliminate restrictions arising under national tax legislation.

Panama remains on Poland’s national list of countries and territories applying harmful tax competition despite its removal from EU Annex I.

Businesses involved in cross-border transactions should therefore verify both:

• the current EU status of the jurisdiction,
• the applicable Polish domestic tax rules.

The EU and Polish classifications should be assessed separately when determining the tax consequences of international transactions.

Read the full article here: Panama and Vietnam removed from the EU list of non-cooperative jurisdictions for tax purposes