India on February 17 signed a tax treaty with Iran. The treaty is similar to the ones entered into by India with other countries.
The treaty incorporates minimum standards agreed under the OECD’s base erosion and profit shifting (BEPS) project, in which India participated on an equal footing.
India, along with other countries part of the BEPS Inclusive Framework, is committed to implementing the BEPS minimum standards. These cover four of the BEPS Actions: harmful tax practices, treaty abuse, country-by-country reporting, and dispute resolution mechanisms.
Iran is not a member of the BEPS Inclusive Framework as on January 2018.
The treaty also provides for exchange of information between the two countries in line with international best practices to improve transparency in tax matters and tackle tax avoidance.