New Delhi, September 23. Finance Minister Nirmala Sitharaman on Wednesday urged BRICS countries to share their experiences in treaty interpretation and multilateral negotiations in the field of international taxation. She said the burden of tax disputes related to transfer pricing is falling disproportionately on developing countries globally, making stronger cooperation among BRICS nations necessary.

Addressing a meeting of heads of tax authorities from BRICS countries held in New Delhi, Sitharaman said international taxation rules are currently undergoing major changes. India has proposed the creation of two new working groups titled ‘International Taxation and Transfer Pricing’ and ‘Revenue Statistics’.

The Finance Minister said the rules governing the global tax system are being redetermined. Discussions are actively underway on several multilateral tax issues, including the United Nations Framework Convention on International Tax Cooperation. She said decisions taken during these negotiations over the coming years will shape the direction of cross-border taxation for future generations.

Sitharaman said that at such a time, it is important for BRICS countries to share their experiences and expertise. Cooperation, particularly in matters related to transfer pricing, could help countries deal with cross-border tax disputes and implement tax rules more effectively.

She also emphasised that the circumstances of developing economies should receive adequate consideration while international tax rules are being formulated. According to her, changes in the global tax system can affect different countries’ economies differently, making it necessary to take the challenges faced by developing nations into account while framing policies.

Through the new working groups proposed by India, efforts are being made to promote regular dialogue and cooperation among BRICS countries on international taxation, transfer pricing and revenue-related data.