Portugal has officially removed the Principality of Andorra from its "blacklist" of jurisdictions that it considers to be non-cooperative. Having changed its laws, administrative practises and tax transparency rules to bring them in line with OECD tax standards, Andorra formally requested the Portuguese government remove it from the blacklist.
Andorra’s CIT general rate, at 10%, is still a little too low - according to the Portuguese General Tax Law a country must not have a maximum CIT rate 60% less than that of Portugal to be removed from its blacklist.
While Portugal's CIT is 21%, the country has nevertheless agreed to the removal of Andorra from the blacklist, following the Principality's efforts thanks to the signature of a TIAE in 2016 and a DTT in 2017.
As a reminder, 78 jurisdictions are still on the Portuguese blacklist, making it one of the longest blacklists in the European Union.
For more information, please contact Simon Huxford: s.huxford@rosemont-mc.com
Subscribe to our newsletter and don’t miss our news.