MINISTRY OF FINANCE
(Department of Revenue)
NOTIFICATION
New Delhi, the 21st July, 2016
S.O. 2488(E).—Whereas, an Agreement between the Government of the Republic of India and the Government
of Saint Kitts and Nevis was signed at New York on the 11th November, 2014 (hereinafter referred to as the said
Agreement);
And whereas, the date for the entry into force of the said Agreement is the 2nd day of February, 2016 being the
date of the later of the notifications of the completion of the procedures as required by the respective laws for entry into
force of the said Agreement, in accordance with the provisions of article 13 of the said Agreement.
And whereas, paragraph 2 of the article 13 of the said Agreement provides that the provisions of the said
Agreement shall have effect forthwith from the date for the entry into force;
Now, therefore, in exercise of the powers conferred by section 90 of the Income-tax Act, 1961 (43 of 1961), the
Central Government hereby notifies that all the provisions of the Agreement between the Government of the Republic of
India and the Government of Saint Kitts and Nevis for the Exchange of Information relating to taxes, as set out in the
said agreement, appended as Annexure hereto, shall be given effect to in the Union of India with effect from the 2nd day
of February, 2016
[Notification No. 62/2016 F. No. 503/09/2009-FTD-I]
PRAGYA S. SAKSENA, Jt. Secy.
AGREEMENT
BETWEEN
THE GOVERNMENT OF THE REPUBLIC OF INDIA
AND
THE GOVERNMENT OF SAINT KITTS AND NEVIS
FOR
THE EXCHANGE OF INFORMATION
RELATING TO TAXES
The Government of the Republic of India and the Government of Saint Kitts and Nevis, desiring to facilitate the
exchange of information with respect to taxes, have agreed as follows:
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11
Article 1
Object and Scope of the Agreement
The competent authorities of the Contracting Parties shall provide assistance through exchange of information that is
foreseeably relevant to the administration and enforcement of the domestic laws of the Contracting Parties concerning
taxes covered by this Agreement. Such information shall include information that is foreseeably relevant to the
determination, assessment and collection of such taxes, the recovery and enforcement of tax claims, or the investigation
or prosecution of tax matters. Information shall be exchanged in accordance with the provisions of this Agreement and
shall be treated as confidential in the manner provided in Article 8. The rights and safeguards secured to persons by the
laws or administrative practice of the requested Party remain applicable to the extent that they do not unduly prevent or
delay effective exchange of information.
Article 2
Jurisdiction
Information shall be exchanged in accordance with this Agreement without regard to whether the person to whom the
information relates is, or whether the information is held by, a resident of a Contracting Party. However, a Requested
Party is not obliged to provide information which is neither held by its authorities nor is in the possession or control of
persons who are within its territorial jurisdiction.
Article 3
Taxes Covered
1. The taxes which are the subject of this Agreement are:
a) in India, taxes of every kind and description imposed by the Central Government or the Governments of
political subdivisions or local authorities, irrespective of the manner in which they are levied;
b) in Saint Kitts and Nevis,taxes of every kind and description imposed by the Central /Federal Government or the
Governments of political subdivisions or local authorities, irrespective of the manner in which they are levied.
2. This Agreement shall also apply to any identical or substantially similar taxes imposed after the date of signature of
this Agreement in addition to, or in place of, the existing taxes. The competent authorities of the Contracting Parties shall
notify each other of any substantial changes to the taxation and related information gathering measures which may affect
the obligations of that Party pursuant to this Agreement.
Article 4
Definitions
1. For the purposes of this Agreement, unless otherwise defined:
a) the term “India” means the territory of India and includes the territorial sea and airspace above it, as well as any other
maritime zone in which India has sovereign rights, other rights and jurisdiction, according to the Indian law and in
accordance with international law, including the U.N. Convention on the Law of the Sea;
b) the term “Saint Kitts and Nevis” means the twin island Federation of Saint Kitts (Saint Christopher and Nevis) and
when used in a geographical sense, means the territory or territories of Saint Kitts and Nevis;
c) the term “Contracting Party” means India or Saint Kitts and Nevisas the context requires;
d) the term “competent authority” means
i) in the case of India, the Finance Minister, Government of India, or its authorized representative;
ii) in the case of Saint Kitts and Nevis, the Ministry of Finance, the Government of Saint Kitts and Nevis or its
authorised representative;
e) the term “person” includes an individual, a company, a body of persons and any other entity which is treated as a
taxable unit under the taxation laws in force in the respective Contracting Parties;
f) the term “company” means anybody corporate or any entity that is treated as a body corporate for tax purposes;
g) the term “publicly traded company” means any company whose principal class of shares is listed on a recognised
stock exchange provided its listed shares can be readily purchased or sold by the public. Shares can be purchased or sold
“by the public” if the purchase or sale of shares is not implicitly or explicitly restricted to a limited group of investors;
h) the term “principal class of shares” means the class or classes of shares representing a majority of the voting power
and value of the company;
12
THE GAZETTE OF INDIA : EXTRAORDINARY
[PART II—SEC. 3(ii)]
i)
the term “tax” means any tax to which this Agreement applies;
j)
the term “recognised stock exchange” means
(i)
in India, the National Stock Exchange, the Bombay Stock Exchange, and any other stock exchange
recognised by the Securities and Exchange Board of India;
(ii)
in Saint Kitts and Nevis, the Eastern Caribbean Securities Exchange and any other stock exchange
recognised by the Eastern Caribbean Securities Commission; and
(iii)
any other stock exchange which the competent authorities agree to recognise for the purposes of this
Agreement;
k) the term “collective investment fund or scheme” means any pooled investment vehicle, irrespective of legal form;
l) the term “public collective investment fund or scheme” means any collective investment fund or scheme provided the
units, shares or other interests in the fund or scheme can be readily purchased, sold or redeemed by the public. Units,
shares or other interests in the fund or scheme can be readily purchased, sold or redeemed “by the public” if the purchase,
sale or redemption is not implicitly or explicitly restricted to a limited group of investors;
m) the term “requesting Party” means the Contracting Party submitting a request for information to, or having received
information from, the requested Party;
n) the term “requested Party” means the Contracting Party which is requested to provide information or which has
provided information;
o) the term “information gathering measures” means laws and administrative or judicial procedures that enable a
Contracting Party to obtain and provide the requested information;
p) the term “information” means any fact, statement, document or record in whatever form.
2. As regards the application of this Agreement at any time by a Contracting Party, any term not defined therein shall,
unless the context otherwise requires or the competent authorities agree to a common meaning pursuant to the provisions
of Article 11 of this Agreement, have the meaning that it has at that time under the law of that Party, any meaning under
the applicable tax laws of that Party prevailing over a meaning given to the term under other laws of that Party.
Article 5
Exchange of Information Upon Request
1. The competent authority of the requested Party shall provide upon request information for the purposes referred to in
Article 1. Such information shall be exchanged without regard to whether the requested Party needs such information for
its own tax purposes or whether the conduct being investigated would constitute a crime under the laws of the requested
Party if such conduct occurred in the requested Party.
2. If the information in the possession of the competent authority of the requested Party is not sufficient to enable it to
comply with the request for information, that Party shall use all relevant information gathering measures to provide the
requesting Party with the information requested, notwithstanding that the requested Party may not need such information
for its own tax purposes.
3. If specifically requested by the competent authority of the requesting Party, the competent authority of the requested
Party shall provide information under this Article, to the extent allowable under its domestic laws, in the form of
depositions of witnesses and authenticated copies of original records.
4. Each Contracting Party shall ensure that its competent authority, for the purposes of this Agreement, has the authority
to obtain and provide upon request:
a) information held by banks, other financial institutions, and any person, including nominees and trustees, acting in an
agency or fiduciary capacity;
b) information regarding the legal and beneficial ownership of companies, partnerships, collective investment funds or
schemes, trusts, foundations, “Anstalten” and other persons, including, within the constraints of Article 2, ownership
information on all such persons in an ownership chain; in the case of collective investment funds or schemes, information
on shares, units and other interests; in the case of trusts, information on settlors, trustees and beneficiaries; in the case of
foundations, information on founders, members of the foundation council and beneficiaries; and equivalent information
in case of entities that are neither trusts nor foundations.
5. This Agreement does not create an obligation on the Contracting Parties to obtain or provide ownership information
with respect to publicly traded companies or public collective investment funds or schemes unless such information can
be obtained without giving rise to disproportionate difficulties.
