New Delhi: India and Spain have signed a protocol for amending the over 19-year old double taxation avoidance pact, a move aimed at checking tax evasion.

"Protocol for amending the Convention and Protocol between India and Spain for the avoidance of double taxation and the prevention of fiscal evasion with respect to taxes on income and on capital" were among the documents signed during the state visit of King of Spain Juan Carlos I.

The document was signed by Finance Minister P Chidambaram and Spanish Foreign Affairs and Cooperation Minister Jose Manuel Garcia-Margallo y Marfil.

The two countries had signed the agreement for avoidance of double taxation and prevention of fiscal evasion on February 8, 1993 in New Delhi.

Amid blackmoney becoming a major issue of concern, India has started negotiating its tax avoidance pacts, popularly known as DTAAs (Double Taxation Avoidance Agreements) with over 75 countries, to get banking related information in line with international norms.

The move is aimed at strengthening the exchange of information relating to tax evasion, money laundering and other criminal activities.


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