Important Facts For Prelims
Tax Inspectors Without Borders Programme
- 05 Oct 2021
- 2 min read
Why in News
Recently, the United Nations Development Programme (UNDP) and the Organisation for Economic Cooperation and Development (OECD), have launched the Tax Inspectors Without Borders (TIWB) Programme in Seychelles.
- India has been chosen as the Partner Administration and has provided Tax Expert for this programme.
Key Points
- About:
- It is expected to be of 12 months duration where India aims to aid Seychelles in strengthening its tax administration by transferring technical know-how and skills to its tax auditors through sharing of best audit practices.
- It focuses on Transfer Pricing cases of tourism and financial services sectors.
- Transfer Price, also known as transfer cost, is the price at which related parties transact with each other, such as during the trade of supplies or labor between departments. Multinational companies can manipulate transfer prices in order to shift profits to low tax regions.
- It is the sixth TIWB programme which India has supported by providing Tax Expert.
- Fifth TIWB programme with India was launched in Bhutan in June 2021.
- Tax Inspectors Without Borders Programme:
- TIWB is a capacity-building programme.
- It is a joint OECD/UNDP initiative launched in July 2015 to strengthen developing countries' auditing capacity and multinationals' compliance worldwide.
- It deploys qualified experts in developing countries across Africa, Asia, Eastern Europe, Latin America and the Caribbean to help build tax capacity in the areas of audit, criminal tax investigations and the effective use of automatically exchanged information.
- TIWB assistance has led to increased domestic resource mobilisation in some of the least developed countries in the world.
