OREANDA-NEWS. January 31, 2011. Finance Minister Veaceslav Negruta signed the Convention on Mutual Administrative Assistance In Tax Matters on behalf of Moldova in Paris. This Convention was opened for signature on 25 January 1988 and approved on February 18, 2010 by the Council of Europe and the OECD, as well as by the Committee of Ministers of the Council of Europe on March 24, 2010.

This treaty allows the Parties, the member States of the Council of Europe and the member countries of OECD, to develop, on common foundations and respecting the basic rights of tax-payers, extensive administrative co-operation covering all compulsory taxes, with the exception of customs duty. The types of assistance are varied, covering the exchange of information between Parties, simultaneous tax examinations and participation in tax examinations carried out in other countries, the recovery of taxes due in other Parties and notification of documents issued in other Parties.

According to Veaceslav Negruta, the Convention’s clauses are intended to help combat tax evasion, coordination of states’ efforts to encourage all forms of the administrative assistance in taxation ensuring the respective protection of taxpayers’ rights. The document is aimed at avoiding double taxation, protection for tax discrimination in any form, the fact that will provide favorable conditions for running foreign economic activity and intensify economic relations.

Signing of the Convention will have positive consequences in different areas of multilateral cooperation and serve as a base for the efficient development of the financial sector, creation of equal conditions for all economic agents. According to Veaceslav Negruta, Moldova has become the fourth country to sign this Convention, not being a member of the Organization of Economic Cooperation and Development.