India has signed a multilateral pact for automatic exchange of information on tax issues and developing new tools to tackle the tax evasion. The Organisation for Economic Co-operation and Development (OECD) in a release yesterday said; India, Canada, Iceland, Israel, New Zealand and China signed the Multilateral Competent Authority agreement in efforts to boost transparency by multinational enterprises. The signing ceremony took place in Beijing yesterday.<br/><br/>Other countries which have already signed the pact include Australia, France, Germany, Japan, Liechtenstein, Malaysia, Italy and the UK.<br/><br/>The pact allows all signatories to bilaterally and automatically exchange Country-by-Country Reports with each other. The OECD release added, it will help ensure that the tax administrations obtain a complete understanding of how the multinational enterprises structure their operations, while also ensuring that the confidentiality of such information is safeguarded.