This Article is From Nov 22, 2014

Black Money Repatriation: Government to Have a Relook at Tax Treaties, Says Arun Jaitley

Black Money Repatriation: Government to Have a Relook at Tax Treaties, Says Arun Jaitley

Finance Minister Arun Jaitley at an interaction with journalists in New Delhi on Saturday. (Press Trust of India)

New Delhi: The Union government today said it was having a relook at some of the bilateral tax treaties that may be hindering the repatriation of black money stashed abroad, reported news agency Press Trust of India, quoting finance minister Arun Jaitley.

Mr Jaitley said he had sent a delegation recently to Switzerland and they came back to report some positive movement, reported PTI.

"We have to furnish evidence independent of the HSBC list," the PTI quoted him as saying in reference to the discussions. "I can't go to them (foreign countries). (What if) They say the HSBC list is stolen, I won't cooperate. So I won't go on the basis of stolen list. But if I present some independent evidence about names which happen to come on the stolen list, then (I can ask) will you provide me the evidence?"

Asked if this provision was not there in the current bilateral treaties, the minister said: "This is what we have discussed. Increasingly the cooperation is increasing. Now if you see the US laws, they want more and more countries to accept that law which provides for automatic exchange of information."

On whether India will be signing such a treaty, the minister said, "Our application is precisely that. The Supreme Court, the earlier judgment, needs a clarification. So the Special Investigation Team (SIT) is looking into it."

Six years ago, Herve Falciani, who then worked in HSBC, had leaked a list of secret accounts at the bank in Geneva, on the list were 600 names. In 2011, France shared the list of Indians who hold accounts there, but Mr Falciani said it was "just the tip of the iceberg".

A recent note from the Prime Minister's Office, which NDTV has accessed, says information shared under the international pact can only be used for tax purposes and not for investigation or arrest and prosecution.

Also the current international Convention Against Corruption, which was ratified by India in 2011, bars retrieval. "Arrangements in place do not reveal any intention to retrieve black money," the note had said, seeking the comments of the Finance Ministry.
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