Argentina is replacing a list of countries considered tax havens with a new list of “cooperative jurisdictions” that share tax information with the Argentine tax authorities. Any countries not on the new list will be considered tax havens.

Higher withholding taxes apply on payments to tax havens, and arrangements with tax haven companies are not considered at arm’s length and are subject to greater scrutiny.

Many Latin American countries maintain such blacklists.

The current Argentine blacklist includes 88 jurisdictions, including Bermuda, the British Virgin Islands, Cayman Islands and Luxembourg. Bermuda and the Cayman Islands are no longer expected to be treated as tax havens after the new list is issued.