Govt revises 40 tax treaties to use info for other purposes

India has revised forty tax treaties for avoidance of double taxation, so that the information could be exchanged among partner countries on non-tax matters.

The partner countries have been requested to modify the tax treaties and explicitly include provisions that will enable the information exchanged for tax purposes, to be used for other purposes as well. These purposes will also include criminal proceedings.

India has also signed a multilateral convention on mutual administrative assistance in tax matters that facilitates exchange of information. These movements on the global front enables the use of such information by non-tax agencies, which are also subjected to agreement by the competent authorities of the requested contracting state.

This move could be another big movement by the Modi government to deal with corruption and fight against criminal activities on a global level.