Economic Affairs Secretary Arvind Mayaram said the country's tax rules are as much applicable to foreign companies as it is for Indian firms.
"India is not going after them (MNCs)," Mayaram said, adding the foreign companies must pay what is due. It would be wrong to suggest that India is going after MNCs, he said.
He was asked whether the plans by the G20 to deal with tax evasion and avoidance would send a signal that MNCs are being targeted at a time when they do not need disincentives to invest during the current phase of global volatility which has severely hit big emerging economies like India.
Replying to questions, Mayaram said there is a resonance of India's position in the G20 on the need to develop "new standards" through consensus so that countries do not lose tax due to them.
More From This Section
The G20 has already backed a fundamental rethink of the rules on taxing MNCs, taking aim at loopholes used by some top companies to avoid billions of dollars in taxes.
The Organisation for Economic Cooperation and Development (OECD), which has been tasked with working on an action plan to combat tax evasion, is to report on its work on Friday.
A key objective is to tackle techniques of what is known as tax optimisation, meaning accounting arrangements used by multinational businesses to minimise their tax bills.