India signs up to Europe-led clampdown on tax evasion and corruption

India has joined a group of nearly 40 countries that have signed a Europe-led clampdown on tax evasion and corruption.
Under this group countries are committed to automatically exchange information on beneficial ownership between law enforcement agencies and tax authorities of partner countries.
This initiative aims to develop a global standard for the automatic exchange of beneficial ownership data
Most European countries except Switzerland have signed this automatic exchange mechanism. Besides India, some of the other countries outside Europe include Nigeria, Afghanistan, Mexico and UAE.
India’s this move is seen step in the direction of NDA Government’s election pledge in 2014 to recover billions of dollars sent to tax havens abroad to avoid income tax.

Month: Current Affairs - June, 2016