SECTION 90 OF THE INCOME-TAX ACT, 1961 – DOUBLE TAXATION AGREEMENT – AGREEMENT FOR EXCHANGE OF INFORMATION FOR TAX PURPOSES WITH FOREIGN JURISDICTIONS – GUIDELINES FOR INBOUND AND OUTBOUND REQUESTS {212 TAXMANN 33(ST.)}

Instruction No 1 of 2013 [F. No. 500/90/2007-FTD-1] dated 17/1/2013 India has entered into a number of Double Taxation Avoidance Agreements (DTAAs) and Tax Information Exchange Agreements (TIEAs) and has also joined the Multilateral Convention on Mutual Administrative Assistance in Tax Matters and SAARC Limited Multilateral Agreement. These agreements contain the legal framework for receiving and providing information for tax purposes available with the other countries/jurisdictions, which tax authorities of a country cannot access using their own powers, as the information lies outside the territorial jurisdiction of the country. The Income Tax Authorities entrusted with administration of the Income-tax Act, 1961, may make requests for information in conformity with the relevant provisions of the DTAAs/TIEAs/Multilateral Agreements, if they are of the view that information received from a foreign jurisdiction would be helpful in assessment and determination of income, collection and recovery of taxes, investigation of tax matters or prosecution in relation to tax matters. The detailed guidelines for making such requests have been provided in above notification.