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The European Union adds Russia to its blacklist of tax havens

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The European Union adds Russia to its blacklist of tax havens

The European Union has added Russia to its blacklist of tax havens after the nation amended its enterprise laws in a method the bloc considers detrimental and unfair.

“The Russian Federation has not fulfilled its dedication to amend its dangerous preferential tax regime,” financial and finance ministers from the 27 member states mentioned after assembly on Tuesday.

The breakdown in dialogue between the EU and Russia because of the invasion of Ukraine prevented the tax frictions from being resolved, ministers famous.

“With Russia, clearly, at present there is no such thing as a engagement,” mentioned Valdis Dombrovskis, the European Fee’s government vice-president.

“One can’t clearly say that Russia is cooperating on tax issues.”

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Swedish Finance Minister Elisabeth Svantesson, whose nation holds the EU Council’s rotating presidency, mentioned the choice was not primarily based on a “political purpose,” regardless of the actual timing, however fairly on a technical evaluation that proved Russia had “failed” to handle the dangerous components of its laws.

These components relate to the revenue from mental property and so-called “grandfathering provisions,” which permits enterprise entities to observe previous guidelines as a substitute of latest ones.

The EU Council didn’t instantly reply to a request for additional clarification.

Additionally on Tuesday, ministers added the British Virgin Islands, Costa Rica and the Marshall Islands to the blacklist, bringing the overall to 16 jurisdictions.

‘Complete whitewash’

First adopted in 2017, the EU’s tax record is up to date twice a 12 months.

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Brussels insists the general public catalogue is not meant to “identify and disgrace” different international locations, however to “encourage constructive change” in tax practices by way of cooperation and continued dialogue.

International locations around the globe are assessed towards three key standards: tax transparency, truthful taxation, and measures to sort out base erosion and revenue shifting (BEPS) by multinationals.

Those that do not adjust to the factors are requested to make adjustments to their laws.

In the event that they refuse to take action, the EU can add them to the record, which does not use the politically charged time period of “tax haven” and as a substitute speaks of “non-cooperative jurisdictions.”

The labelling does not entail any reprisals or sanctions past the reputational harm.

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On Tuesday, ministers granted Hong Kong, Malaysia and Qatar, three international locations underneath scrutiny for his or her tax regimes, an extension to make reforms.

Barbados, Jamaica, North Macedonia and Uruguay had been discovered to have accomplished the required steps.

Ministers additionally highlighted latest commitments made by Aruba, Curaçao, Belize, Israel and Albania, an official candidate to affix the 27-strong bloc.

The EU’s blacklist has usually been the goal of criticism from tax consultants and civil society organisations, who argue its scope is way too restricted and fails to focus on member states, corresponding to Luxembourg and the Netherlands, that current traits of tax havens.

Chiara Putaturo, a tax coverage advisor at Oxfam’s EU workplace, lambasted the record as a “complete whitewash” for excluding jurisdictions like Bermuda and Cayman Island, two abroad territories identified for internet hosting shell corporations utilized by companies to keep away from paying increased taxes of their residence international locations.

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“With this joke record, the EU continues to permit the super-rich and worthwhile to stash away their fortunes whereas strange individuals are battling with the cost-of-living disaster,” Putaturo mentioned in an announcement.

“The replace is one more missed alternative to place an finish to tax havens and get billions again to bridge the hole between the super-rich and strange folks.”

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EU preparing sanctions on Russia's 'shadow fleet' after cable damage

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EU preparing sanctions on Russia's 'shadow fleet' after cable damage

Countries in the region have been on alert following a string of incidents involving undersea cables and gas pipelines in the Baltic Sea since 2022.

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The EU Foreign Policy chief has said the bloc is preparing sanctions on what it calls Russia’s ‘shadow fleet’ after an undersea power cable connecting Finland and Estonia was damaged in the Baltic Sea.

Kaja Kallas posted the joint statement from the EU Commission and the High Representative leading the investigation on X, saying the “suspected vessel is part of Russia’s shadow fleet, which threatens security and the environment, while funding Russia’s war budget.”

Kallas also said the EU was strengthening efforts to protect undersea cables, adding that there was no risk to regional electricity supplies.

That comes after Finnish authorities detained a Russian ship as part of an investigation into damage to the Estlink-2 power cable.

It carries electricity from Finland to Estonia across the Baltic Sea and went down on Wednesday.

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Finnish police and border guards boarded the Eagle S vessel on Thursday and took over the command bridge, Helsinki Police Chief Jari Liukku said at a press conference.

The vessel was being held in Finnish territorial waters, police said.

The Eagle S is flagged in the Cook Islands but was described by Finnish customs officials and the European Union’s executive commission as part of Russia’s shadow fleet of fuel tankers.

Those are aging vessels with obscure ownership, acquired to skirt Western sanctions and operating without Western-regulated insurance.

Russia’s use of the vessels has raised environmental concerns about accidents given their age and uncertain insurance coverage.

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The Eagle S’ anchor is suspected of causing damage to the cable, Yle television reported, citing police statements.

The Estonian government met in emergency session over the incident.

The shadow tankers “are helping Russia to earn funds that will aid Russian hybrid attacks,” Prime Minister Kristen Michal said at a news conference.

“We need to improve the monitoring and protection of critical infrastructure both on land and on sea.”

He said repairs to the cable could take as long as seven months.

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“Repeated damage to Baltic Sea infrastructure signals a systemic threat, not mere accidents,” Estonia’s President Alar Karis said on X.

“Estonia will take action to counter this threat, together with Finland and other NATO allies.”

On high alert

Countries in the region have been on alert following a string of incidents involving undersea cables and gas pipelines in the Baltic Sea since 2022.

Two data cables — one running between Finland and Germany and the other between Lithuania and Sweden — were severed in November.

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Germany’s defence minister said officials had to assume the incident was “sabotage,” but he didn’t provide evidence or say who might have been responsible.

And the Nord Stream pipelines that once brought natural gas from Russia to Germany were damaged by underwater explosions in September 2022.

Authorities have said the cause was sabotage and launched criminal investigations.

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Saudi executions rose sharply in 2024

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Saudi executions rose sharply in 2024
Saudi Arabia executed 330 people this year, the highest number in decades, despite de facto ruler Mohammed bin Salman’s 2022 assertion that the death penalty had been eliminated except for murder cases under his vision for a new open kingdom.
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Israel launches strikes in Yemen on Houthi military targets, IDF says

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Israel launches strikes in Yemen on Houthi military targets, IDF says

The Israeli military claimed responsibility for a series of airstrikes in Yemen on Thursday that hit Sana’a International Airport and other targets in the Houthi-controlled capital.

The Israel Defense Forces said the strikes targeted military infrastructure used by the Houthis to conduct acts of terrorism. 

“The Houthi terrorist regime has repeatedly attacked the State of Israel and its citizens, including in UAV and surface-to-surface missile attacks on Israeli territory,” the IDF said in a statement. 

“The targets that were struck by the IDF include military infrastructure used by the Houthi terrorist regime for its military activities in both the Sana’a International Airport and the Hezyaz and Ras Kanatib power stations. In addition, the IDF struck military infrastructure in the Al-Hudaydah, Salif, and Ras Kanatib ports on the western coast.” 

PROJECTILE FROM YEMEN STRIKES NEAR TEL AVIV, INJURING MORE THAN A DOZEN: OFFICIALS

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Black smoke rises near Sana’a International Airport in Yemen after reported Israeli airstrikes. (Reuters)

The strikes come days after Israel’s defense minister promised retaliation against Houthi leaders for missile strikes launched at Israel from Yemen.

Houthi rebels, who control most of northern Yemen, have fired upon Israel for more than a year to support Hamas terrorists at war with the Jewish State. The Houthis have attempted to enforce an embargo on Israel by launching missiles and drones at cargo vessels crossing the Red Sea – a major shipping lane for international trade. 

US NAVY SHIPS REPEL ATTACK FROM HOUTHIS IN GULF OF ADEN

Oil tanker in the Red Sea

This photo released by the European Union’s Operation Aspides naval force shows the oil tanker Sounion burning in the Red Sea following a series of attacks by Yemen’s Houthi rebels, on Saturday Sept. 14, 2024.  (European Union’s Operation Aspides via AP)

Overall, the Houthis have launched over 200 missiles and 170 drones at Israel since Hamas’s Oct. 7, 2023, massacre of 1,200 people. Since then, the Houthis have also attacked more than six dozen commercial vessels – particularly in the Bab-el-Mandeb, the southern maritime gateway to Egypt’s Suez Canal.

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On Saturday, a projectile launched into Israel from Yemen struck Tel Aviv and caused mild injuries to 16 people, Israeli officials said. The incident was a rare occasion where Israeli defense systems failed to intercept an attack.

NETANYAHU WARNS HOUTHIS AMID CALLS FOR ISREAL TO WIPE OUT TERROR LEADERSHIP AS IT DID WITH NASRALLAH, SINWAR

Israel Katz

Israeli Defense Minister Israel Katz looks on, amid the ongoing conflict in Gaza between Israel and Hamas, in Jerusalem, November 7, 2024.  (REUTERS/Ronen Zvulun)

Israel retaliated by striking multiple targets in areas of Yemen under Houthi control, including power plants in Sana’a. 

Israeli leaders have vowed to eliminate Houthi leadership if the missile and drone attacks do not cease.

On Monday, Israeli Defense Minister Israel Katz said, “We will strike their strategic infrastructure and decapitate their leaders. Just as we did to [former Hamas chief Ismail] Haniyeh, Sinwar and Nasrallah, in Tehran, Gaza and Lebanon – we will do in Hodeidah and Sanaa.” 

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Prime Minister Benjamin Netanyahu has also urged Israelis to be “patient” and suggested that soon the military will ramp up its campaign against the Houthis.

“We will take forceful, determined and sophisticated action. Even if it takes time, the result will be the same,” he said. “Just as we have acted forcefully against the terror arms of Iran’s axis of evil, so too will we act against the Houthis.”

Fox News Digital’s Amelie Botbol contributed to this report. 

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