12 June, 2021

Tackle The Home Front

The problem is here in India and it must be tackled here, even to bring funds held abroad back to the country.

Tackle The Home Front

The UPA government tried its best to see that the SIT for black money did not come into being. Similarly, the NDA also recently tried to scuttle its powers by asking for clarifications in the order. Both governments argue that the data in question came under double taxation avoidance agreements (DTAA) and therefore must not be revealed. This position is quite incorrect as the DTAA only ensures that tax paid on declared income is not paid in both countries. The governments have also claimed that the stolen data from the LGT Bank and from HSBC Bank was given under DTAA. However, this also cannot be true because the data was procured from the German and the French governments by paying money to former employees of these banks. Further, these were not incomes pertaining either to Germany or France and therefore can’t be covered under the DTAA with these countries.

Finally, under the DTAA there is a clause about information exchange bet­w­een the countries but it mentions that data may be revealed for purposes of court. Both governments are clearly using these...

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