Lok Sabha Question No. 516 (UNSTARRED), answered on 2020-02-05
Subject: Relaxation to SEZ Developers
Ministry: COMMERCE AND INDUSTRY
Asked by: Komati Reddy Venkat Reddy, Arvind Dharmapuri

## GOVERNMENT OF INDIA MINISTRY OF COMMERCE & INDUSTRY (DEPARTMENT OF COMMERCE)

## LOK SABHA UNSTARRED QUESTION NO. 516 TO BE ANSWERED ON 05 th FEBRUARY, 2020

## RELAXATION TO SEZ DEVELOPERS

## 516.  SHRI KOMATI REDDY VENKAT REDDY:

## SHRI ARVIND DHARMAPURI:

Will the Minister of COMMERCE & INDUSTRY ( वािण�य एवं उ�ोग मं�ी ) be pleased to state:

- (a) whether the Government is planning to extend time for and give relaxation to Developers for the development of Special Economic Zone (SEZ) projects in the country;
- (b) if so, the details thereof;
- (c) the number of SEZs wherein relaxation for the development of SEZs is likely to be given;
- (d) whether any SEZs are being developed or got extension in the State of Telangana and if so, the details thereof; and
- (e) whether any tax exemptions and incentives are proposed to be given and if so, the details thereof?

## ANSWER

## okf.kT; ,oa m|ksx ea=h ( Jh ih;w'k xks;y ) THE MINISTER OF  COMMERCE AND INDUSTRY (SHRI PIYUSH GOYAL)

(a) to (c): In  terms  of  Rule  6(2)(a)  of  the  Special  Economic  Zones Rules,  2006,  the  letter  of approval granted to a SEZ developer is valid for a period of three years within which time effective steps are to be taken by the developer to implement the approved proposal. The Board of Approval (BoA)  under  Department  of  Commerce  may,  on  an  application  by  the  developer and on recommendation of Jurisdictional Development Commissioner, extend the validity period of the letter of approval.  BoA has granted extension of validity period to 154 developers of SEZ across the country including 16 developers  in Telangana to  complete  their  projects till  now.  Developers  have  sought extension of validity period of the letter of approval granted to them for the execution of their projects for various reasons including adverse business climate due to global recession, delay in approvals from statutory bodies, delay in environmental clearance, etc.

- (d): The details of the SEZs which have got extension in the State of Telangana are at Annexure.

(e): The tax exemptions and other incentives allowed to SEZs are in built into the SEZs Act, 2005. Main fiscal concessions and duty benefits allowed to SEZ developers and units are as follows:

- i. Exemption from Central Sales Tax, Exemption from Service Tax and Exemption from State sales   tax. These have now subsumed into GST and supplies to SEZs are zero rated under IGST Act, 2017.
- ii. Exemption from Income Tax for 15 years as per Income Tax Act
- iii. Duty free import/domestic procurement of goods
- iv. Exemption  from  State  sales  tax  and  other  levies  as  extended  by  the  respective  State Governments.

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## Annexure to the Lok Sabha Unstarred Question No. 516 for 5 th February, 2020

|   Sl. No. | Name of the Developer                                           | Location                                                                                              | Type of SEZ                                                 |
|-----------|-----------------------------------------------------------------|-------------------------------------------------------------------------------------------------------|-------------------------------------------------------------|
|         1 | M/s. J.T. Holdings Private Limited                              | Maheshwaram Mandal, District Ranga Reddy, Telangana                                                   | IT/ITES                                                     |
|         2 | M/s. Ananth Technologies Limited                                | Raviryala Village, Maheswaram Mandal, Ranga Reddy District, Telangana.                                | IT/ITES                                                     |
|         3 | M/s. GMR Hyderabad International Airport Limited                | GMR Hyderabad International Airport, Shamshabad, Hyderabad, Telangana                                 | Multi Services with International Financial Services Centre |
|         4 | M/s. Telangana State Industrial Infrastructure Corporation Ltd. | Madikonda Village, Hanamkonda Mandal, Warangal District, Telangana                                    | IT/ITES                                                     |
|         5 | M/s. Stargaze Properties Private Limited                        | KanchaImarat, Raviryala Village, Maheswaram Mandal, Ranga Reddy District, Telangana                   | IT/ITES                                                     |
|         6 | M/s. Parsvnath Infra Limited                                    | Karakapatla Village, Mulugu Mandal, Medak District, Telangana                                         | Biotechnology                                               |
|         7 | M/s. Cognizant Technology Solutions India Private Limited       | Adibatla Village, Ibrahimpatnam Mandal, Ranga Reddy District, Telangana                               | IT/ITES                                                     |
|         8 | M/s. Tata Consultancy Services Limited Services Limited         | Adibatla Village, Ibrahimpatnam Mandal, Ranga Reddy District, Mandal, Ranga Reddy District, Telangana | IT/ITES                                                     |
|         9 | M/s. Telangana State Industrial Infrastructure Corporation Ltd. | Karakapatla village, Mulugu Mandal, Medak District, Telangana                                         | Biotechnology                                               |
|        10 | M/s. Hyderabad Metropolitan Development Authority               | Kokapet village, Serilingampally Mandal, Ranga Reddy District, Telangana                              | IT/ITES                                                     |
|        11 | M/s. Shantha Biotechnics Limited                                | Muppireddypalli village, Toopran Mandal, Medak District, Telangana                                    | Biotechnology and related activities                        |
|        12 | M/s. Radiant Corporation Private Limited                        | Muppireddypally village, Toopran Mandal, Medak District, Telangana                                    | Electronic Hardware and Software and related activities     |
|        13 | M/s. GARCorporation Private Limited                             | Kokapet Village, Gandipet Mandal, Ranga Reddy District, Telangana                                     | IT/ITES                                                     |
|        14 | M/s. Divija Commercial Properties Private Limited               | Raidurg Village, Serilingampally Mandal, Ranga Reddy District, Telangana                              | IT/ITES                                                     |
|        15 | M/s. Vaxenic Private Limited                                    | Kolthur Village, Shameerpet Mandal, Ranga Reddy District, Telangana                                   | Biotechnology& Bio- Pharmaceuticals                         |
|        16 | M/s. GARCorporation Private Limited                             | Kokapet Village, Gandipet Mandal, Ranga Reddy District, Telangana                                     | IT/ITES                                                     |