India-Armenia Current Affairs
Cabinet approves agreement on cooperation and mutual assistance in customs matters between India and Armenia
The Union Cabinet approved signing and ratifying agreement between India and Armenia on cooperation and mutual assistance in customs matters. The agreement will be signed by two countries after it is approved by respective Governments.
The agreement will provide legal framework for sharing of information and intelligence between Customs authorities of two countries. It will also help in proper application of Customs laws, prevention and investigation of Customs offences and facilitation of legitimate trade.
The Agreement will help in availability of relevant information for prevention and investigation of Customs offences. It is also expected to facilitate trade and ensure efficient clearance of goods traded between countries.
It will enter into force on first day of second month after Contracting Parties notify each other through diplomatic channels after fulfilling necessary national legal requirements for entry into force.
The Agreement takes care of Indian Customs’ concerns and requirements, particularly in area of exchange of information on correctness of Customs value declared and authenticity of certificates of origin of the goods traded between the two countries.
India and Armenia has signed a Protocol to amend the existing Double Taxation Avoidance Convention (DTAC) to curb instances of tax evasion.
The Protocol amends the Article on Exchange of Information for tax in the bilateral DTAC signed between India and Armenia and has been in existence since September 2004.
It has been amended to bring it in line with the updated provisions in the Organisation for Economic Co-operation and Development (OECD) Model.
- The amendment Protocol will enable both countries to exchange information related to banking and financial transactions under the DTAC.
- It will facilitate them in addressing tax evasion and help to further strengthen the efforts of Indian Government’s to curb generation of black money.