Pranab calls for global action to end era of banki
New Delhi: Finance Minister Pranab Mukherjee on Monday called for stepping up multilateral
cooperation to end the era of banking secrecy and deal with the "abusive" transfer pricing mechanism that is robbing developing nations of their scarce natural resources.
Mukherjee, while addressing a seminar on international taxation jointly organised by his ministry and the Organisation for Economic Cooperation and Development (OECD),
regretted that the banking system is still opaque in various non-tax and low tax jurisdictions.
Despite efforts made at the global level and statements issued by G-20 leaders at their London summit in April, 2009, "We cannot say with certainty that the bank secrecy is over in
all cases", the minister said.
"While the countries have accepted to end bank secrecy in general, come countries have agreed to do so only from a prospective date and are not willing to exchange past banking
information," Mukherjee said.
Such issues put a question mark on the efficacy of the present legal provisions for exchange of banking information, he said, adding, "There is an urgent need to revisit the
existing legal framework developed by the OECD in this regard".
The OECD is a club of developing countries and has been playing a key role in reforming the international taxation system.
Referring to the issues concerning transfer pricing, the minister said, "This abusive behaviour is robbing developing countries of their scarce resources, which is required for
financing development programmes."
Download the all new Zee News app for Android and iOS to stay up to date with latest headlines and news stories in Politics, Entertainment, Sports, Technology, Business and much more from India and around the world.
More from India
More from World
More from Sports
More from Entertaiment
- Video: India won't tolerate disrespect to national anthem – this Mumbai family learnt it the hard way
- Watch: Boy dies after falling from a Mumbai local train – video maker is guilty too!
- Had Sardar Patel become PM, India would have been another Pakistan, says Kancha Ilaiah
- Watch: ISIS terrorist blown into pieces while bragging about his previous victory
- Shocking! World Cup winning cricketer forced to sell 'kachoris' to make a living