Mauritius & India finalise tax treaty; close out negotiations at long last
The Mauritian delegation in India, headed by financial secretary Dev Manraj, came to an agreement that finally resolves the prolonged dispute over the island’s Double Tax Avoidance Agreement (DTAA) with India, which now offers more clarity and predictability to foreign investors.(Image:llpolawfirm.com)
Mauritius and India came to an agreement on Tuesday, 30 June 2015, to resolve tax treaty issues, which had been hanging fire for long, bringing both countries much-needed respite from the protracted negotiations over the DTAA.
The agreement was formalised following two days of discussion in Delhi, where the Mauritian delegation was led by financial secretary Dev Manraj. The positive outcome of these negotiations opens up a new era of cooperation between both friendly countries, after years of dispute.
“I express our heart-felt gratitude to Indian Prime Minister Narendra Modi for his commitment to the effect that India will do nothing that can potentially harm the interests of Mauritius within the framework of tax treaty negotiations. This commitment has contributed much towards taking the discussions forward,” noted Mauritius’ Minister of Finance and Economic development, Vishnu Lutchmeenaraidoo.
Vishnu Lutchmeenaraidoo had discussions with his Indian counterpart Arun Jaitley over the DTAA this June 16th in New Delhi. The progress realized during the negotiations at the political level formed the basis for technical negotiations.
Ministers of Finance of both countries will confirm the agreement initialed by the technical mission (Joint Working Group) on the treaty.
Finally, it may be noted that the new fiscal treaty assures greater clarity and predictability to foreign investors.