Professional Documents
Culture Documents
Bye Laws Seepz
Bye Laws Seepz
Definition of
SEZ
China made
the SEZ’s a Revolution
First known global came in
Ireland and SEZ act
SEZ- concept- 2000-
Taiwan inorporatio introduces
largest
Puerto followed- n of SEZ in in India-
number of
Rico-1947 1960 EXIM 2005
SEZ’s –
Shenzen policy
1980
Objectives of setting up SEZ in India
Generation of additional economic activity
Creation of employment
Taxes are either exempted or waived and even reimbursed in case they are paid in
advanced to the concerned authority
Duty-free imports of spares, raw materials, capital goods, and consumables are offered as
per the requirements of the approved business activity
Preferential treatment of these units to the Indian market for easy dissemination of their
products and / or service
Total tax exemption on corporate incomes as per the provisions of Section 10 A and 10 B
of
the Indian Income Tax Act
Easy and automatic acceptance system for use of existing trademarks, brand names and
Facts
Some EPZ’s(export processing zone) converted to SEZ’s
Name of Area State Year of Area of SEZ (in
conversion Acers)
Kandala Gujarat 1965 625
Seepz Maharashtra 1975 110
Noida Uttar Pradesh 1986 310
Madras Tamil Nadu 1986 262
Cochin Kerala 1986 103
Fatala West Bengal 1986 280
Vishakhapattanam AP 1994 360
Surat Gujarat 1998 103
• 15 year corporate tax holiday on export profit
• Allowed to carry forward losses
• No license required for import made under SEZ
units
• Duty free import of goods for setting up of the
Advantages SEZ units
• Exemption from payment of Service Tax
• Setting up Off-shore Banking Units (OBU)
allowed in SEZs
• External Commercial Borrowings up to $500
million a year
• allowed without any maturity restrictions
8
• Revenue losses because of the various tax
exemptions and incentives
Disadvantages • Acquire land at cheap rates and create a land
bank
• May not match up to expectations
Case study of
Santa Cruz,
Mumbai
• Santacruz Electronics Export
Processing Zone (SEEPZ) was
set up in the year 1974 for the
purpose of manufacturing and
exporting electronic products.
• Set up in an area measuring 100
acres it has become watershed
project of the Maharashtra
Industrial Development
Corporation.
• The gem and jewelry industry was
introduced in the year 1988 in
SEEPZ.
Reference:-www.Business.Mapofindia.Com
Minimum Area
Section 3(8) – Rule 5
Reference:-www.Business.Mapofindia.Com
• The provision of granting permits and
approvals pertaining to issues such as
environment and human resources by the
means of a single window system
• The exemptions of different kinds local and
state duties, tariffs, and taxes pertaining to
Main Aim of the transactions with the special economic
SEEPZ zones
• The exemptions from registration fees and
stamp duties
• The time saving procedures for the
acquisition of lands in order to establish the
special economic zone
Reference:-www.Business.Mapofindia.Com
Hurdles And Key Challenges
Land acquisition is not easy