On 17 February 2026, the European Council announced updates to its list of jurisdictions that are non-cooperative for tax purposes. The Republic of Seychelles has been removed from all sections of the list, having fully addressed the identified tax transparency and cooperation concerns.
- EU lists of non-cooperative tax jurisdictions are split into a black list with restrictive measures and a grey list with ongoing monitoring.
- Seychelles was blacklisted in 2023 due to an OECD Global Forum assessment highlighting weaknesses in its exchange of information on request mechanism.
- After committing to reforms, Seychelles moved from the black list to the grey list in 2024, then fully exited the EU lists following a positive 2026 reassessment.
- Removal from the list reduces compliance barriers, strengthens Seychelles’ reputation, and complements its modern corporate regime and commitment to tax information exchange.
Understanding “Black” and “Grey” Tax Jurisdictions Lists
The European Union maintains a list of non-cooperative tax jurisdictions as a strategic tool to combat tax avoidance and evasion, while encouraging third countries to adopt high standards of tax governance. The list is divided into two categories.
The first part (the “black list”) includes jurisdictions that do not cooperate with the EU on tax matters or have failed to fulfill their obligations in this area. These are not necessarily offshore or low-tax jurisdictions. Inclusion on this list triggers various restrictions (primarily tax-related) on transactions with residents of such jurisdictions.
If a jurisdiction is blacklisted, this gives EU Member States the right to apply protective measures, including:
- denial of tax benefits,
- increased taxation,
- tax authorities’ close attention to cross-border arrangements with companies from blacklisted countries, etc.
The second part (the “grey list”) includes countries that have committed to addressing identified deficiencies (for example, implementing necessary reforms or establishing tax information exchange). These countries cooperate with the EU but remain under surveillance until they fulfill all their obligations.
Seychelles Removed from the EU’s List
The Republic of Seychelles was included in the EU tax “black list” in October 2023. This was due to a negative assessment of the jurisdiction by the OECD Global Forum on Transparency and Exchange of Information for Tax Purposes.
The primary concern involved deficiencies in the exchange of information on request (EOIR) mechanism. Its effectiveness is one of the key indicators of a jurisdiction’s tax transparency.
However, in February 2024, Seychelles was removed from the “black list” as a jurisdiction that had committed to addressing the existing deficiencies. From that point on, Seychelles remained on the EU’s “grey list”.
Finally, in February 2026, following the latest positive assessment by the Global Forum, the EU removed Seychelles from the “grey list” as well. This step signifies the EU’s recognition that Seychelles no longer has the previously noted issues regarding tax information exchange.
Implications of Removal from the List
The removal of Seychelles from the EU’s list of non-cooperative jurisdictions may lower compliance hurdles for international transactions involving the jurisdiction.
Furthermore, this move reinforces Seychelles’ standing as a transparent and cooperative international financial center.
Other changes to the EU Blacklist 2026
The current version of the European list of non-cooperative tax jurisdictions is as follows:
| Black List (restrictions) | Grey List (monitoring) |
|---|---|
|
American Samoa Anguilla Guam Palau Panama Russian Federation Turks and Caicos US Virgin Islands Vanuatu Viet Nam |
Belize British Virgin Islands Brunei Darussalam Eswatini Greenland Jordan Montenegro Morocco Türkiye |
Compared to the previous version, Vietnam and the Turks and Caicos Islands have been added to the “black list.” At the same time, Fiji, Samoa, and Trinidad and Tobago have been removed.
In addition to Seychelles, Antigua and Barbuda have also left the “grey list.”
Seychelles Company and Foundation Setup
The Republic of Seychelles remains one of the most sought-after jurisdictions for international business in the East African region. Company registration in Seychelles is popular due to its modern corporate and private foundation laws, territorial principle of taxation, and low setup and annual maintenance costs.
At the same time, Seychelles is open to international cooperation, which includes its commitment to disclose taxpayer information both in response to direct requests from foreign tax authorities and through automatic exchange protocols.
