The SEZ Advantage
A key benefit of being located in an SEZ are the tax incentives which the
companies can avail
Income Tax Incentives
|
| a |
Income tax holiday for 15 consecutive
years:
| 4 |
100% for first
5 years |
| 4 |
50% for next 5 years and |
| 4 |
50% for further 5 years,
subject to reinvestment |
|
| a |
“Splitting-up/reconstruction” and “transfer
of previously used plant and machinery” – not
preconditions
|
| a |
No Minimum Alternate Tax
|
| |
|
|
Indirect Tax
Incentives
|
| a |
Nil import duty
|
| a |
Nil Excise Duty
|
| a |
Exemption from Central Sales Tax
(CST) on purchases from DTA
|
| a |
Exemption from Sales Tax, stamp duty,
octroi & other state taxes |
| a |
Exemption from Service Tax
|
| a |
Exemption from tax on sale of electricity
for self generated and purchased power
|
|
The single window clearance facility at the SEZ can substantially drop
the cost of regulatory compliance for the companies and also promulgate
a hassle-free operating environment
|
