France steps up assault on tax havens

FranceFrance has stepped up its assault on tax havens by blacklisting Bermuda, British Virgin Islands and Jersey, in a sudden move set to impose heavy penalties on thousands of French individuals and businesses.

The three offshore centres have been added to a list of “non-co-operative jurisdictions”, triggering withholding taxes of up to 75 per cent on payments from France.

The decision was greeted with surprise by the offshore centres which have already bowed to international pressure to become more transparent and exchange tax information with other governments.

The finance ministry in Paris said the three territories had been added to the blacklist for not complying with a new criterion enforced by the government, of unsatisfactory compliance with an existing convention with France.

Read more of this report from The Financial  Times.