There are on-going negotiations for a revision of the existing double taxation agreement (DTA) between India and the Philippines. The Finance Minister of India raised the issue, during his recent bilateral meeting with Philippines’ Finance Secretary, and discussed the necessity of a legal framework for the exchange of information between the two countries relating to banking and tax-related matters. It is hoped that by January next year the revised DTA may be signed between the countries.
The Indian Finance Minister expressed his satisfaction at the ratification notice by both countries for the entry into effect of the India-Association of Southeast Nations free trade agreement (FTA) from June 1, 2011. He expected that under the FTA, the growth of bilateral trade which has increased from USD443.6m in 2003-04 to USD1.1bn in 2009-10, will certainly increase even further with the scaling down of tariff lines on goods by both the countries.
