Although many financial centres have prospered without tax treaties, Mauritius, as a tax planning area, has focused the development of its offshore centre on using its growing network of double taxation treaties. The growing network of double taxation treaties reinforces Mauritius` seriousness as a tax-efficient offshore jurisdiction for structuring overseas investments. There is no agreement with Australia other than the Tax Information Exchange Agreement (TIEA), signed in December 2010. Finally, there is a mechanism for resolving disputes arising from transfer pricing practices that are not carried out at “market transmission lengths”, as advocated by the OECD. The term `transfer pricing` refers to the way in which cross-border transactions are carried out between related parties and persons, in particular as regards pricing. The OECD Transfer Pricing Guidelines state that “transfer pricing is important for both taxpayers and tax administrations, as it largely determines the revenue and expenditure and thus the taxable profits of related companies in different tax jurisdictions”.  The OECD recommends that, for cross-border transactions between related companies, transfer pricing gains be similar to those recorded in comparable transactions between unrelated companies.  The agreements allow each country`s tax administration to make an adjustment where it considers that taxable profits have been underestimated in its own area of competence due to artificially reduced prices of transactions between related companies. The Organisation for Economic Co-operation and Development (OECD) is committed to India to improving the quality of its tax system, which is characterised by tax evasion and avoidance, including for reasons of confidentiality or concealment of income outside the jurisdiction. According to a new study by Global Financial Integrity, a Washington-based research and interest group, India`s economy suffered a loss of $123 billion in illegal capital outflows from the country between 2001 and 2010.
 The Wall Street Journal describes this as “money that has been earned, transferred, or used illegally and stored abroad.”  A list of countries with which Mauritius has a double taxation agreement (DTT) can be found in the “Withholding taxes” section of the business summary. For similar reasons, the DBA with Indonesia was adopted on 1 January 2005, following the resignation of the Indonesian government in 2004 and the refusal to discuss the issue. No negotiations are currently under way between Mauritius and Indonesia. In August 2009, India declared that it was reworking its double taxation treaties, in particular those concluded before 2004. Their aim is to renegotiate the provisions on combating abuse. The following countries have ratified double taxation treaties with Mauritius: under the conventions, the salaries of civil servants from the Marshall Islands and Mauritius working for non-commercial purposes in Australia are not taxed in Australia. Similarly, Mauritius and the Marshall Islands will not levy taxes on equally committed Australian civil servants working in those countries. .