MoU signed between MCA and CBIC for data exchange
The memorandum will facilitate the exchange of information and data between CBIC and MCA on an automatic and regular basis.
The Central Board of Indirect Taxes and Customs (CBIC) and the Ministry of Corporate Affairs (MCA) on February 25, 2021, signed a Memorandum of Understanding for the exchange of data between the two organisations.
The memorandum was signed by B.B. Gupta, ADG, CBIC, and Manoj Pandey, Joint Secretary, MCA, in the presence of Chairman of CBIC Ajit Kumar and Rajesh Sharman, Secretary, Corporate Affairs Ministry.
The MoU came into force from the date it was signed and is also an ongoing initiative of MCA and CBIC who have already been collaborating through various existing mechanisms. The latest MoU will mark the beginning of a new era of cooperation between the MCA and CBIC.
CBIC and Ministry of Corporate Affairs signed a Memorandum of Understanding today for data exchange between the two organizations. The MOU was signed in the presence of Secretary, MCA, JS MCA & virtual presence of Chairman, CBIC, Board Members, CBIC and other senior officers. pic.twitter.com/tTQSJs01LN— CBIC (@cbic_india) February 25, 2021
MoU on data exchange: Key details
• The memorandum will facilitate the exchange of information and data between CBIC and MCA on an automatic and regular basis.
• The agreement will enable sharing of the specific information such as the details of Shipping bill (exports), Bill of Entry (imports) Summary from CBIC and the financial statements filed with the Registrar by Corporates, returns of the allotment of shares.
• The MoU will also make sure that both organisations have seamless linkages for regulatory purposes.
• MCA and CBIC, in addition to the regular data exchange, will also be able to exchange with each other, on request, any detail available in their databases, for carrying out scrutiny, investigation, inspection and prosecution.
How the MoU will benefit both MCA and CBIC?
Data and Technology will be playing a critical role in fulfilling the government’s vision of maximum governance and minimum government and both organisations have been well placed to fulfill this vision.
The agreement is in line with the vision of both organisations to harness the data capabilities to ensure effective enforcement. Both MCA and CBIC will be benefitted from access to each other’s databases which will include the consolidated financial statements of the registered companies and details of import-export transactions.
The arrangement of data sharing has gained importance due to the development of MCA21 version 3 which will be utilizing state-of-the-art technology to enhance the ease of doing business in India.
The data sharing will also improve the regulatory enforcement and similar steps taken by CBIC such as the launch of ADVAIT- Advanced Analytics in Indirect Taxation. It is a 360-degree taxpayer profiling tool.
Data Exchange Steering Group:
A Data Exchange Steering Group has also been formed for the initiative. The group will be meeting periodically for reviewing the data exchange status and take measures to further improve the effectiveness of data sharing information.