Current Affairs - International - Discussion

India and the US signed an agreement for exchange of country-by-country (CbC) report. The move will give huge relief to subsidiaries of US-headquartered companies in the taxation-related matter. The agreement was signed by PC Mody, Chairman, Central Board of Direct Taxes (CBDT), and Kenneth I Juster, US Ambassador to India. The agreement for the exchange of CbC reports, along with the Bilateral Competent Authority Arrangement between the two competent authorities, will enable the two countries to automatically exchange the reports filed by the ultimate parent entities of the multinational enterprises in the respective jurisdictions pertaining to the years commencing on or after January 1, 2016.