1) Agreement with Japan to avoid double taxation
- The Cabinet also gave its nod to amend the double taxation avoidance convention (DTAC) between India and Japan. The new agreement will facilitate exchange of information on tax matters, including bank information, and information without domestic tax interest. There is also a provision for sharing any information received from Japan with to respect of a resident of India with other law enforcement agencies. According to the agreement, India and Japan can lend assistance to each other in collection of revenue claims and for exemption of interest income from taxation in the source country, with respect to debt-claims insured by the government or government-owned financial institutions.
2) RBI signs supervisory pacts with UK
- The Reserve Bank of India on 2nd December signed separate memoranda of understanding on supervisory cooperation and exchange of supervisory Information with Prudential Regulation Authority and Financial Conduct Authority, United Kingdom.