The Union Cabinet, chaired by the Prime Minister Shri Narendra Modi has approved the signing and ratification of an Agreement for the exchange of information between India and Maldives with respect to taxes.

 The Agreement will stimulate effective exchange of information between the two countries which will help curb tax evasion and tax avoidance.

Exchange of tax information to strengthen bilateral cooperation across borders and curb tax evasion and avoidance. A bilateral agreement establishes a framework for the exchange of information concerning taxation to enable competent authorities to obtain and share taxpayer-related data necessary to detect, deter and address tax evasion and tax avoidance, thereby strengthening cross-border tax compliance and administrative cooperation.