Capital markets regulator SEBI on Wednesday said it has signed a pact with the Central Board of Direct Taxes for facilitating regular exchange of data and information.
The Memorandum of Understanding, which marks the beginning of enhanced cooperation between SEBI and CBDT, comes into force from July 8, the markets watchdog said in a press release.
A Data Exchange Steering Group has been constituted for the initiative which will meet periodically to review the data exchange status and take steps to further improve the effectiveness of data sharing mechanism, the Securities and Exchange Board of India said.
The MoU is an ongoing initiative of CBDT and SEBI, who are already collaborating through various existing mechanisms, it added.
"The MoU will facilitate the sharing of data and information between CBDT and SEBI on an automatic and regular basis. The MoU will ensure that both CBDT and SEBI have seamless linkage for data exchange," the regulator said.
CBDT and SEBI will also exchange any information available in their respective databases on request and suo moto basis for carrying out scrutiny, inspection, investigation and prosecution, it added.
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