India, Canada to sign social security pact
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Last Updated: Thursday, October 13, 2011, 21:35
  
New Delhi: India and Canada are expected to sign a social security agreement next month which will relieve workers from double taxation while working in each other's country.

Under the agreement, Indian workers on short term contracts of up to five years are likely to get relief from making any social security contribution in Canada provided they continue to make similar payments in India. Similar benefits will also be available to Canadian citizens working in India.

"We want to get it signed at the earliest. Canada is supposed to get back to us with a date on which we can sign the pact," Atul Kumar Tiwari, Joint Secretary in Ministry of Overseas Indian Affairs, told agency.

Sources said the pact is likely to be signed during Canadian Prime Minister Stephen Harper's visit here next month.

"Canadian Prime Minister Stephen Harper is expected to visit India in the second half of November. The agreement is expected to be signed then," they said.

The agreement will also help in transfer of benefits in case a worker relocates to India after having made social security contribution during a longer term employment in Canada.

The number of Indians and Indian origin people in Canada is around 10 lakh.

India has already signed similar agreements with Germany, Belgium, France, Switzerland, The Netherlands, Luxembourg, Hungary, Denmark, Czech Republic, South Korea and Norway.

The signing of the agreement would help Indian companies operating in Canada as exemption from social security contribution will reduce cost of operation.

PTI


First Published: Thursday, October 13, 2011, 21:35


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