What is a Special Ecomomic Zone

It is a geographic area where Number of tax concessions are given by government

Laws relating to import and export are more liberal as compared to other parts of the country.

 

Sale of goods to

Developer of Special Economic Zone

Or

Units of Special Economic Zone

is exempt from tax

 

Conditions to be fulfilled

Sale must be for specified purpose

Specified purpose means

 

In case of

Specified purpose

Developer of

Special Economic Zone

 

Development, operation and maintenance of SEZ by developer.

 

Unit  in  SEZ:

Setting, operation, maintenance, manufacture, trading, production, processing, assembling, repairing, Conditioning, reengineering, packaging, use of packing material/packing accessories in a unit located in any SEZ

 

 

Developer of SEZ or unit of SEZ must be authorized by authority specified by Central Government

Buyer (Developer of SEZ or unit of SEZ) must be registered

Buyer has to submit a declaration in Form I.

Goods specified in the registration certificate

 

What is form I?

It is a form given by buyer to seller in case of interstate sales where

Buyer is Developer of SEZ or unit of SEZ

And

Both buyer and Seller are registered.

 

  1. Indirect Tax
  2. CST
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About the Author

CA Maninder Singh's photo - Expert in Practical Accounts, Taxation and Efiling
CA Maninder Singh
CA Maninder Singh is a Chartered Accountant for the past 8 years. He provides courses for Practical Accounts, Taxation and Efiling at teachoo.com .
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