India Looking To Expand Double Taxation Treaty Network

by Lorys Charalambous, Tax-News.com, Cyprus

24 November 2004

A senior official within the Indian Finance Ministry has revealed that the government is keen to extend India’s network of double taxation treaties in a bid to stimulate international trade.

In an address to the Economics Editors conference last week, Revenue Secretary K M Chandrasekhar commented that talks are ongoing with several countries with a view to concluding double taxation avoidance treaties (DTATs).

"We have had a number of discussion with many countries and in the new DTATs care would be taken to minimise the problems of taxation of holding companies," Mr Chandrasekhar noted.

In addition, the Revenue Minister stated that the central government is also working towards strengthening anti-money laundering controls, noting that the government has "identified the provision in the Act where enforcement is required and other provisions where analysis and collection of data are required."

India already has more than 75 bilateral tax agreements in place including with most major world economies.

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