As per to the sources saying @ the www.propertykhazana.com, Commerce and Industry Minister, Kamal Nath examined the efficiency of SEZs in terms of invention of manpower, export incomes and also the dilemma faced by the tax-free territory at the AGM of the council. Developers of SEZs and EOUs will keep the 10 main issues in front of the minister which appears to be the technical blockages for them. Commerce ministry is expecting to have a meeting with SEZ developers to talk about the dilemma faced by them over the path of income tax likely to be imposed on the units operating at the SEZ’s.
Source revealed at www.propertykhazana.com says that, Developers are looking for explanation on the understanding of Section 10AA of SEZ Act that gives exclusion from income tax to the units on export earnings. The cenvat credit provision was extensive for supplies to SEZ units and this needed to be given for the developers also. Afar, developers have appealed to release from export duty on supply of steel to SEZs for devouring within the zones, which is affecting construction work, mainly in engineering units.
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