India is discussing a whole host of issues with Mauritius including ways and means of ensuring that a tax treaty with the island nation is not misused, Akhilesh Ranjan, a joint secretary in the tax department told reporters on Thursday.
Earlier, in October, Mauritius finance minister Vishnu Lutchmeenaraidoo had said they were in talks to review a tax treaty that had made the island the biggest single source of foreign direct investment in India.
But the treaty's terms have been a growing irritant to India, which says a chunk of the funds are not real foreign investment but Indians routing cash through the island to avoid Indian taxes.
