The EU Council has removed Bahamas, Belize, Seychelles, and Turks and Caicos Islands from the list of non-cooperative jurisdictions for tax purposes. 

With these updates, the EU list consists of the following 12 jurisdictions: American Samoa, Anguilla, Antigua and Barbuda, Fiji, Guam, Palau, Panama, Russia, Samoa, Trinidad and Tobago, US Virgin Islands, and Vanuatu.
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The Council invited these jurisdictions to improve their legal framework to resolve the identified issues.

Bahamas has announced the introduction of the Qualified Domestic Minimum Top-Up Tax (QDMTT), a significant measure under the OECD’s Pillar Two tax framework aimed at ensuring multinational enterprises (MNEs) operating within The Bahamas pay their fair share of taxes. 

The measure specifically targets MNEs with annual turnovers exceeding 750 million Euros, aligning with our international obligations and efforts to combat tax base erosion and profit shifting.
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 Draft legislation is expected by the end of May 2024.

Malta has transposed into local legislation the European Union's Global Minimum Tax Directive.
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The rules are deemed to have come into force on 31 December 2023 but are restricted to the limited transposition of Chapters I, VIII, IX and of the directive, as the minimum measures that are relevant to ensure the proper functioning of the global minimum level of taxation for MNE groups and large-scale domestic groups.

The rules apply to constituent entities (CEs) located in Malta that are members of an MNE group or a large-scale domestic group that has annual revenue exceeding EUR 750 million (including the revenue of excluded entities) in its ultimate parent entity’s (UPE) consolidated financial statements in at least two of the four fiscal years immediately preceding the tested fiscal year.

Japan and Ukraine signed a tax treaty on February 19.

The treaty wholly amends the existing treaty between Japan and the Government of the Union of Soviet Socialist Republics, which entered into force in 1986.
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The treaty introduces measures for prevention of abuse, arbitration proceedings in mutual agreement procedures, assistance in the collection of tax claims, and reinforces exchange of information concerning tax matters.

On 19 February 2024, the OECD/G20 Inclusive Framework on BEPS released the report on Amount B of Pillar One, which provides a simplified and streamlined approach to the application of the arm's length principle to baseline marketing and distribution activities, with a particular focus on the needs of low-capacity countries. 

The approach set out in this report answers the call of low-capacity countries for what the African Tax Administration Forum (ATAF) has described as "vital" changes to the OECD Transfer Pricing Guidelines, providing what "could be a game changer for the African transfer pricing landscape".
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Content from the report has now been incorporated into the OECD Transfer Pricing Guidelines.

The United Arab Emirates signed a tax treaty with Bahrain and Kuwait on February 11.
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The treaties were signed at the eighth Annual Arab Fiscal Forum, held in Dubai.

Jurisdictions continue to make progress in addressing harmful tax practices through the implementation of the international standard under BEPS Action 5, as per new OECD results on preferential tax regimes and substantial activities in no or only nominal tax jurisdictions.

Recommendations for substantial improvement were made for one jurisdiction (Anguilla) and four jurisdictions (Anguilla, the Bahamas, Barbados, and the Turks and Caicos Islands) had areas where a need for focused monitoring was identified. No issues were identified for Bahrain, Bermuda, the British Virgin Islands, the Cayman Islands, Guernsey, the Isle of Man, and Jersey. The FHTP also concluded that since the introduction on June 1, 2023, of its corporate income tax rate of 9 percent, the UAE is now no longer a no or only nominal tax jurisdiction.

The total number of regimes reviewed by FHTP has now reached 322 with over 40% of those regimes being (or in the process of being) abolished.
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The next annual monitoring exercise for no or only nominal tax jurisdictions will take place in the second half of 2024.

Belarus has revised the country’s corporate income tax rate.

With effect from January 1, 2024, a corporate income tax rate of 25% applies to income exceeding BYN 25,000,000.
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The standard corporate income tax of 20% applies to income below BYN 25,000,000.

Bermuda’s Ministry of Finance has issued frequently asked questions (FAQs) with respect to the Corporate Income Tax Act, 2023.

The Act will have a general commencement date of 1 January 2025, except for certain provisions for which the commencement date is 1 January 2024. The purpose of these FAQs is to assist entities in determining if and when they are within the scope of the corporate income tax, and to provide guidance as to how certain provisions are to be interpreted or otherwise intended to operate.
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These FAQs can be found on the Government of Bermuda website at: www.gov.bm/CIT.

UK government has published stakeholders’ comments on how to reform transfer pricing, permanent establishments and Diverted Profits Tax legislation to make it clearer and easier to use.

In June last year, the government invited views on the proposals to reform UK law in relation to transfer pricing, permanent establishment, and Diverted Profits Tax.

HMRC received 42 written responses from representative bodies, professional advisers and individuals, and held 4 public meetings with over 300 people as part of the consultation.
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The government has considered these responses and has published the summary of responses document. The responses will be used to inform the further development of these proposals. The government will hold a technical consultation on draft legislation in 2024.