TAXTREATY 2 LAST

However, the Swiss Bankers Association had said the
country's law and tax model convention does not permit name-
fishing expedition by a third country.

India, denied that it was on a "fishing expedition"
seeking information about every banking accounts in
Switzerland, allegedly deposited by Indians.
Finance Minister of India Pranab Mukherjee had said India
is only seeking details about some specific accounts from
Switzerland.
"They (Swiss Bankers Association) have not refused (to
divulge information). They have suggested they are not for
fishing and we are also not interested in fishing their whole
list (of bank accounts)," Mukherjee had said.
Last month, a team of the Finance Ministry officials went
to Switzerland to start negotiations on reworking the tax
treaty so that information on these issues could be obtained
among other matters.
The countries where the tax treaties need to be revised
comprehensively are mostly low-tax or no-tax nations or tax
havens, and most of the foreign investments into the country
come routed through these nations.
Foreign investors route their investments through these
nations to avoid payment of taxes in India. The comprehensive
revision of tax treaty would address these issues also.
Also, there are more nations like the Philippines, South
Korea and Italy with whom India would revise the tax treaties
comprehensively, the sources said. PTI TAN
ANU


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