Ministry of Corporate Affairs signs pact with CBIC for data exchange.

The corporate affairs ministry on Thursday said it has signed a pact with the Central Board of Indirect Taxes and Customs (CBIC), under the finance ministry, for data exchange between the two organisations.

The memorandum of understanding (MoU) will facilitate the sharing of data and information between MCA and CBIC on an automatic and regular basis, according to a statement by the Ministry of Corporate Affairs (MCA).

“The MoU is in line with the vision of MCA and CBIC to harness data capabilities to ensure effective enforcement,” according to the statement said.

Their databases include details of import-export transactions and consolidated financial statements of companies registered in the country.

In addition to regular exchange of data, MCA and CBIC will also exchange with each other, on request, any information available in their respective databases, for the purpose of carrying out scrutiny, inspection, investigation and prosecution, it added.

“The MoU comes into force from the date it was signed and is an ongoing initiative of MCA and CBIC, who are already collaborating through various existing mechanisms,” the statement said.

A data exchange steering group has also been constituted for the initiative, which will meet periodically to review the data exchange status and take steps to further improve the effectiveness of the data-sharing mechanism, it added.