TaxPersonal TaxFATF ‘bad boys’ risk trade losses

FATF 'bad boys' risk trade losses

A host of countries risk the threat of loss of trade with the EU and G7 nations after the Financial Action Task Force included them on its annual money laundering 'blacklist', released today.

The FATF report, announced at the OECD this afternoon, made a number of changes to its 2000 blacklist.

The Bahamas, the Cayman Islands, Liechtenstein and Panama all had their names removed from the list of non-compliant countries after the FATF was satisfied they had put in place sufficient anti-money laundering systems.

This will no doubt please Prince Philipp of Liechtenstein, who is due to speak at a press conference at KPMG’s headquarters in London on Monday highlighted his country’s progress in implementing anti-money laundering reforms.

But the news was not so good for the remaining 12 names on the list which the OECD deemed non-co-operative in the war against money laundering. They are the Cook Islands, Dominica, the Marshall Islands, St Kitts and Nevis, St Vincent and the Grenadines as well as Israel, Lebanon, Nauru, Niue, the Philippines and Russia.

These countries, along with Egypt, Guatemala, Hungary, Indonesia, Myanmar and Nigeria, which were added to the 2001 list, face the possibility of economic sanctions and threats to their economic development.

Andrew Clark, head of anti-money laundering at PricewaterhouseCoopers was particurlarly critical of Russia: ‘For a country which relies so heavily on trade with G7 nations, failure to act could lead to economic difficulties and may deter western countries from investing in it.’

Links

FATF to meet over blacklisted havens

Related Articles

Inheritance tax is 'unfit for modern society' and should be abolished, says think tank

Personal Tax Inheritance tax is 'unfit for modern society' and should be abolished, says think tank

3w Alia Shoaib, Reporter
Rent-a-room relief – the survey says…

Personal Tax Rent-a-room relief – the survey says…

2m Helen Thornley, ATT Technical Officer
What should the OTS prioritise in its review of inheritance tax?

Personal Tax What should the OTS prioritise in its review of inheritance tax?

4m Alia Shoaib, Reporter
LITRG urges government to consider tax changes in disability work plan

Administration LITRG urges government to consider tax changes in disability work plan

5m Lucy Skoulding, Reporter
HMRC appeal rejected in Tottenham Hotspur case

Administration HMRC appeal rejected in Tottenham Hotspur case

6m Emma Smith, Managing Editor
HMRC urged to clarify impact of income allowances on Self-Assessments

Personal Tax HMRC urged to clarify impact of income allowances on Self-Assessments

7m Alia Shoaib, Reporter
New trading allowance: simplicity, but not as we know it

Administration New trading allowance: simplicity, but not as we know it

7m Emma Rawson, ATT Technical Officer
Wealthy individuals could circumvent top tax rate rises

Personal Tax Wealthy individuals could circumvent top tax rate rises

9m Alia Shoaib, Reporter