Panama Expected to Leave the EU Tax Haven List on 9 October After Six Years
ECONOMY · PANAMA
Key Facts
- —The country Panama, a dollar-based economy and banking centre, has sat on the EU list of non-cooperative tax jurisdictions since February 2020.
- —What happened On 28 September 2026 Bloomberg, citing unnamed sources, reported that EU finance ministers plan to remove Panama from the list on 9 October.
- —The numbers Ten jurisdictions were on the list after the 17 February 2026 revision (EU Council). Panama’s Law 526 sets a 15 percent tax on untaxed passive foreign income lacking substance.
- —What it means for you Holders of Panamanian companies may face fewer EU checks after delisting. Multinational group entities must show real local substance from fiscal year 2027.
- —Still open The EU has not confirmed the move. A Panamanian lawyer quoted by La Estrella on 29 September says his own source expects Panama to stay listed.
Panama may finally leave the EU tax haven list on 9 October, when European Union finance ministers meet in Luxembourg. Bloomberg reported the plan on 28 September, citing people familiar with the matter, and Panama’s government quickly amplified it.
The European Union has not confirmed the decision. Its Council only says the twice-yearly revision of the list is on the agenda for that meeting.
What Bloomberg and Panama’s government say
According to Bloomberg, as carried by Bloomberg Línea, Panama would be removed from the list entirely. Vietnam, added in February, would move to the softer “grey list” of countries that have promised reforms.
Panama’s Foreign Ministry republished the report the same day, crediting President José Raúl Mulino’s personal push. The tabloid El Siglo and the daily La Estrella de Panamá carried the same account.
Economy and Finance Minister Felipe Chapman told Bloomberg that eliminating shell companies had been an absolute priority. Foreign Minister Javier Martínez-Acha told La Estrella he was optimistic of “good news” soon.
The Council of the European Union, where member-state ministers sit, lists the Economic and Financial Affairs Council for 9 October 2026 in Luxembourg. Its agenda says ministers will “seek to approve conclusions” on the biannual revision.
Why Panama was on the list
The EU created its list of non-cooperative jurisdictions for tax purposes in 2017. It screens countries on tax transparency, fair taxation and anti-avoidance rules.
Panama has been listed without a break since February 2020, La Estrella notes. At the last revision, on 17 February 2026, it was one of ten jurisdictions, alongside Russia, Vietnam, Vanuatu, Palau and five island territories.
A central objection was Panama’s territorial tax system, which leaves foreign-source income untaxed. That let companies with no real presence in the country book passive income there at zero tax.
The law meant to change the verdict
Panama answered with Law 526, enacted on 28 May 2026. Entities in multinational groups earning passive foreign income must now prove local staff, offices and decision-making.
Those that cannot face a 15 percent tax on that income, according to Infobae. Executive Decree 32, issued in September, set out the detailed rules, which apply from fiscal year 2027.
The government also points to earlier exits. Panama left the Financial Action Task Force grey list in 2023 and the EU’s money-laundering high-risk list in 2025.
Earlier coverage: EU Keeps Panama on Tax Haven Blacklist and Panama Just Tightened the Rules on Its Famous Tax Haven Status.
What delisting would and would not change
Leaving the EU tax haven list would remove a label that, Chapman told Bloomberg, has weighed on foreign investment and trade with Europe. Listed jurisdictions can also face defensive tax measures in EU member states.
It would not end scrutiny. The substance rules still have to work in practice, and the EU revises the list every February and October.
What Is Not Yet Known
Nobody in the EU has confirmed the plan on the record. Lawyer Adolfo Linares told La Estrella that his own source expects Panama to be kept on the list.
He also warned that Brussels could set fresh conditions after any removal. Whether ministers approve the delisting will be clear only after the 9 October meeting.
Sources: Bloomberg Línea (Bloomberg), 28 September 2026; El Siglo, 28 September 2026; La Estrella de Panamá, 29 September 2026; Panama Ministry of Foreign Affairs, 28 September 2026; Council of the EU, Ecofin meeting page, 9 October 2026; Council of the EU, list revision, 17 February 2026; Infobae, 28 September 2026; Infobae, 3 September 2026.
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