India and Brunei on Thursday signed an agreement for exchange of banking information and assistance in tax collection. The agreement was signed by the Central Board of Direct Taxes (CBDT) Chairman Pramod Chandra Mody, and High Commissioner of Brunei Darussalam to India Dato Paduka Haji Sidek Ali.

In a statement, the CBDT said the Tax Information and Exchange Agreement (TIEA) enables exchange of information, including banking and ownership information, between the two countries for tax purposes. “It is based on international standards of tax transparency and exchange of information and enables sharing of information on request as well as on automatic basis. It also provides for mutual assistance in collection of tax revenue claims between both countries,” the CBDT said.