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

On 9 October 2026, Panama and Vietnam were removed from the EU list of non-cooperative jurisdictions for tax purposes 2026 and transferred from Annex I to Annex II. Both remain subject to monitoring. Annex I now contains eight jurisdictions. Businesses operating in Poland must also check national tax regulations, as Panama remains on Poland’s list of countries and territories applying harmful tax competition.

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Why were Panama and Vietnam removed from the EU list?

The Council of the European Union removed both countries from Annex I following measures taken to address previously identified concerns regarding tax governance.

Panama and Vietnam were transferred to Annex II, which covers jurisdictions cooperating with the European Union (EU) while remaining subject to monitoring.

Both countries are awaiting an in-depth review of their tax information exchange frameworks by the Global Forum on Transparency and Exchange of Information for Tax Purposes.

The Council also noted that:

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

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Which jurisdictions remain on the EU list in October 2026?

Following the revision 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 EU list of non-cooperative jurisdictions is periodically revised based on compliance with international tax standards.

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What changed in Annex II?

The Council also updated Annex II, covering cooperating jurisdictions monitored in relation to their tax governance commitments.

The principal changes include:

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

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

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What does the updated EU list mean for businesses in Poland?

The EU list supports tax transparency, good tax governance and measures against tax avoidance. However, removal from Annex I does not automatically eliminate restrictions under national tax legislation.

Panama illustrates this distinction. Although removed from Annex I, it remains on Poland’s national list of countries and territories applying harmful tax competition.

Businesses conducting cross-border transactions should therefore verify:

• The jurisdiction’s current classification under the EU framework.
• The applicable Polish domestic tax regulations.
• Whether national restrictions remain relevant despite a change in EU classification.

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

Source: European Commission – update to the EU list of non-cooperative jurisdictions for tax purposes, 9 October 2026.

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If you have any further questions or require additional information, please contact your business relationship person or use the enquiry form on the HLB Poland website.

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