Committee to study fiscal regimes and other statutory requirements of business in SAARC countries

Short-term Plans

• Identify the number of significant fiscal, exchange laws and custom tariff in each country and disseminate information for the benefit of members.
• Identify special legislation enacted in member countries e.g. transfer pricing, group taxation, thin capitalization etc. for information purposes.
• Conduct a preliminary study of the fiscal laws and identify the ones which may beharmonized with ease e.g. VAT and Excise duties etc.

Medium-term Plans

• Set the goals for harmonization of fiscal laws in SAARC region in the light of experienceof European Union, African and Arab countries in this area.
• Identify areas for harmonization of direct taxation laws e.g. Mergers, Transfer Pricing, transfer of assets and exchange of shares, payments for interest, royalty and fee for technical services, Parent-Subsidiary and Head-Office- Branch relationships, Double taxation treaties etc.

Long-term Plans

• Recommend the steps for harmonization of specific fiscal and exchange laws in the light of aforesaid deliberations.
• Ultimately assist the governments in formulating multilateral tax treaties amongst the SAARC countries