Arguing that the country did not implement the reforms to which it had committed itself within the agreed time frame, the European Union decided to include it again in its list of non-cooperating territories in fiscal matters.
An agreement was signed to create a working group on fiscal and financial transparency cooperation, with the aim of removing Panama from the French list of non-cooperating countries in tax matters.
The Ministry of Economy and Finance of Panama reported that the working group will contribute to strengthening cooperation, improving the exchange of fiscal information, promoting financial transparency and the fight against money laundering, focusing on finding more efficient mechanisms and practices for the exchange of information for fiscal purposes, within the framework of the provisions of the tax agreements in force between the parties, including all aspects of the process, from the preparation and sending, to the receipt and response of requests for exchange of information.
Since November 26, the Guatemalan authorities have the power to access taxpayers' bank information for tax purposes, so they can now corroborate that the bank income of companies coincide with the payment of their taxes.
After the resolution of the Constitutional Court was published in the Diario de Centroamérica on November 25, in which the appeal of unconstitutionality filed by Escalas Mercantiles S.A., which was intended to prevent the authorities from having access to the banking information of companies and individuals, the law that empowers the Superintendence of Tax Administration (SAT) to investigate taxpayers has come into effect.
Arguing that the country "fulfils all its commitments in terms of fiscal cooperation", the European Union decided to remove it from its list of nations and territories considered as non-cooperative.
Albania, Costa Rica, Mauritius, Serbia and Switzerland have implemented, ahead of schedule, all the reforms necessary to comply with the principles of good tax governance of the European Union (EU).
As a result of the elimination of banking secrecy in Guatemala, the business sector announces that it will be alert to "respect due process and the confidentiality of taxpayers.
One year after having suspended access to taxpayers' bank information for fiscal purposes, at the beginning of August the Constitutional Court ruled definitively and revoked the suspension, so that in the coming weeks the changes will begin to apply.
One year after the suspension of taxpayers' access to bank information for tax purposes, the Guatemalan Constitutional Court ruled definitively and revoked the suspension.
In the new version of the European Union's list of non-cooperating countries in fiscal matters, the Central American country no longer appears.
In December 2017, Panama was included by the Council of Ministers of Economy and Finance of the European Union in Annex II of the List of non-cooperative jurisdictions in fiscal matters.
The law firm that was involved in the "Panama Papers" scandal has announced the closure of its operations.
"...Reputational deterioration, the media campaign, the financial encirclement and the irregular actions of some Panamanian authorities, have caused irreparable damage, whose obligatory consequence is the total cessation of operations to the public at the end of this month after 40 years of growth and contributing socially, culturally and economically to our country."
The Financial Action Group of Latin America recognizes the efforts that are being made to classify evasion as a criminal offense, but once again points out that the main threat is the inflow of financial flows linked to illicit activities committed abroad.
From the report "Mutual Evaluation of Panama - January 2018":
Since 1999 Costa Rica has been included in the list of nations considered tax havens by the South American country.
From a statement issued by the Ministry of Finance:
COSTA RICA TAKEN OFF BRAZIL'S LIST OF TAX HAVENS
The Federal Revenue Secretariat of Brazil (Receita Federal do Brasil or RFB) has removed Costa Rica from the list of countries with favored taxation, known as tax havens.
Starting from 2018, authorities in both countries will be able to exchange information on financial accounts corresponding to 2017 for tax purposes.
From a statement issued by the Ministry of Economy and Finance in Guatemala:
Panama and Mexico today signed in Mexico City an Agreement between the Relevant Authorities for the exchange of financial information for tax purposes.
The Panamanian government has announced its willingness to review current practices in the legal and financial system and collaborate with other governments in legal proceedings over financial and tax offenses.
Following the massive leak of financial information from a Panamanian law firm, the Government announced that it is evaluating the practices relating to its financial system and that it will collaborate with other jurisdictions to investigate citizens suspected of criminal activities, including tax evasion. The announcement was made by President Juan Carlos Varela.
Legal tax engineering is a mandatory business practice for anyone who wants to be competitive in today's globalized world, and only those who are not entrepreneurs can afford to refuse to acknowledge this fact.
EDITORIAL
With the same firmness that we criticize businesspeople who evade taxes or bribe officials to get a contract, we must defend every business practice which is framed within the law to pursue the best use of available resources to generate wealth through the production of goods and services, which is what businesses do.
The tax authority insists that Congress approve the changes to the Tax Code and the Banking Law so that regulated entities provide information to the SAT for tax purposes.
The request by the department of the Superintendency of Tax Administration to Congress aims not only to improve monitoring tools and tax revenues, but also meet one of the conditions required by the OECD for removal from the organization's.gray list.
The agreement provides for the exchange of financial account information, including balances, interest, dividends and profits from sales of financial assets, both for individuals and corporations.
From a statement issued by the Ministry of Finance in Costa Rica:
COSTA RICA signs multilateral agreement on automatic exchange of information with OECD