India, Norway sign revised treaty to check tax evasion

India and Norway today signed a revised tax treaty for exchange of information between the two countries to prevent flows of black money and check tax evasion.

"This (the agreement) will replace the existing convention signed between the two countries on the same subject on December 31, 1986," an official statement said.

The revised (DTAA) was signed by Finance Minister Pranab Mukherjee and Tora Aasland, the Minister of Research and Higher Education of Norway, to avoid double taxation and prevent fiscal evasion with respect to taxes on income and capital, the statement added.

The new DTAA provides for exchange of information, especially the sharing of banking data, between the two countries.

A DTAA is essentially a bilateral agreement between two countries to avoid the taxation of income earned in one country by both of them.

The new agreement will provide for a lower rate of taxation of dividend and interest in the source country. It provides for 10 per cent rate, as against 15 per cent or 25 per cent in the existing Double Taxation Avoidance Convention (DTAC), among other things.

Mukherjee hoped the new pact would bring out more transparency and openness in taxation and fiscal matters.

Aasland said India and Norway have good relations not only in the field of financial matters, but also with regard to climate change, water resources and research, besides other areas.

The renegotiated DTAA was approved by Cabinet at its meeting on October 20, 2010. The new DTAA will replace the existing DTAC upon entering into force.

India has initiated the process of negotiation with 65 countries to broaden the scope of articles concerning the exchange of information to specifically allow for the exchange of banking data and information regarding taxpayers not covered under existing tax pacts, Mukherjee had recently said.

"Thirteen new DTAAs have also been finalised where the Exchange of Information Article is in line with international standards," the minister had said.

image
Business Standard
177 22
Business Standard

India, Norway sign revised treaty to check tax evasion

Press Trust of India  |  New Delhi 



India and Norway today signed a revised tax treaty for exchange of information between the two countries to prevent flows of black money and check tax evasion.

"This (the agreement) will replace the existing convention signed between the two countries on the same subject on December 31, 1986," an official statement said.

The revised (DTAA) was signed by Finance Minister Pranab Mukherjee and Tora Aasland, the Minister of Research and Higher Education of Norway, to avoid double taxation and prevent fiscal evasion with respect to taxes on income and capital, the statement added.

The new DTAA provides for exchange of information, especially the sharing of banking data, between the two countries.

A DTAA is essentially a bilateral agreement between two countries to avoid the taxation of income earned in one country by both of them.

The new agreement will provide for a lower rate of taxation of dividend and interest in the source country. It provides for 10 per cent rate, as against 15 per cent or 25 per cent in the existing Double Taxation Avoidance Convention (DTAC), among other things.

Mukherjee hoped the new pact would bring out more transparency and openness in taxation and fiscal matters.

Aasland said India and Norway have good relations not only in the field of financial matters, but also with regard to climate change, water resources and research, besides other areas.

The renegotiated DTAA was approved by Cabinet at its meeting on October 20, 2010. The new DTAA will replace the existing DTAC upon entering into force.

India has initiated the process of negotiation with 65 countries to broaden the scope of articles concerning the exchange of information to specifically allow for the exchange of banking data and information regarding taxpayers not covered under existing tax pacts, Mukherjee had recently said.

"Thirteen new DTAAs have also been finalised where the Exchange of Information Article is in line with international standards," the minister had said.

RECOMMENDED FOR YOU

India, Norway sign revised treaty to check tax evasion

India and Norway today signed a revised tax treaty for exchange of information between the two countries to prevent flows of black money and check tax evasion.

India and Norway today signed a revised tax treaty for exchange of information between the two countries to prevent flows of black money and check tax evasion.

"This (the agreement) will replace the existing convention signed between the two countries on the same subject on December 31, 1986," an official statement said.

The revised (DTAA) was signed by Finance Minister Pranab Mukherjee and Tora Aasland, the Minister of Research and Higher Education of Norway, to avoid double taxation and prevent fiscal evasion with respect to taxes on income and capital, the statement added.

The new DTAA provides for exchange of information, especially the sharing of banking data, between the two countries.

A DTAA is essentially a bilateral agreement between two countries to avoid the taxation of income earned in one country by both of them.

The new agreement will provide for a lower rate of taxation of dividend and interest in the source country. It provides for 10 per cent rate, as against 15 per cent or 25 per cent in the existing Double Taxation Avoidance Convention (DTAC), among other things.

Mukherjee hoped the new pact would bring out more transparency and openness in taxation and fiscal matters.

Aasland said India and Norway have good relations not only in the field of financial matters, but also with regard to climate change, water resources and research, besides other areas.

The renegotiated DTAA was approved by Cabinet at its meeting on October 20, 2010. The new DTAA will replace the existing DTAC upon entering into force.

India has initiated the process of negotiation with 65 countries to broaden the scope of articles concerning the exchange of information to specifically allow for the exchange of banking data and information regarding taxpayers not covered under existing tax pacts, Mukherjee had recently said.

"Thirteen new DTAAs have also been finalised where the Exchange of Information Article is in line with international standards," the minister had said.

image
Business Standard
177 22

More News

  • Image via Shutterstock Govt panel to suggest ways to step up card transactions
  • Seed MNCs unite against GM rules Seed MNCs unite against GM rules
Widgets Magazine

Widgets Magazine

Upgrade To Premium Services

Welcome User

Business Standard is happy to inform you of the launch of "Business Standard Premium Services"

As a premium subscriber you get an across device unfettered access to a range of services which include:

  • Access Exclusive content - articles, features & opinion pieces
  • Weekly Industry/Genre specific newsletters - Choose multiple industries/genres
  • Access to 17 plus years of content archives
  • Set Stock price alerts for your portfolio and watch list and get them delivered to your e-mail box
  • End of day news alerts on 5 companies (via email)
  • NEW: Get seamless access to WSJ.com at a great price. No additional sign-up required.
 

Premium Services

In Partnership with

 

Dear Guest,

 

Welcome to the premium services of Business Standard brought to you courtesy FIS.
Kindly visit the Manage my subscription page to discover the benefits of this programme.

Enjoy Reading!
Team Business Standard