Press Information Bureau

Government of India

Ministry of Finance

13-December-2012 18:40 IST

On the request of the Central Government and persistent follow up in June, 2011, France has provided details of Indians having bank accounts in one of the banks of Switzerland under the provisions of Double Taxation Avoidance Convention (DTAC) between India and France. Based on this information, investigations have been undertaken by the different jurisdictional authorities under the Income Tax Act, 1961.

The information received is protected by the confidentiality clause of the said DTAC. The information can only be used for the tax purposes specified therein.

This was stated by the Minister of State for Finance Shri S.S. Palanimanickam in a written reply to a question in the Rajya Sabha today.

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DSM/RS/ka

Exchange of bank account information under DTAC permits tax authorities to initiate income tax investigations, subject to confidentiality. France provided bank account information under the Double Taxation Avoidance Convention following an Indian government request; Indian jurisdictional authorities have undertaken inquiries under the Income Tax Act. The information is protected by the DTAC confidentiality clause and may be used only for the tax purposes specified in the agreement.