WHAT IS SEZ ?
> SEZ --The term special economic zone (SEZ) is commonly used as a generic term to refer to only one modern economic zone. In these zones business and trades laws differ from the rest of the country. -- Broadly, SEZs are located within a country's national borders. The aims of the zones include: increased trade, increased investment, job creation and effective administration. To encourage businesses to set up in the zone, financially libertarian policies are introduced. These policies typically regard investing, taxation, trading, quotas, customs and labour regulations. Additionally, companies may be offered tax holidays. --The creation of special economic zones by the host country may be motivated by the desire to attract foreign direct investment (FDI). The benefits a company gains by being in a Special Economic Zone may mean it can produce and trade goods at a globally competitive price. The operating definition of an economic zone is determined individually by AR7's of each country. In some countries the zones have been criticized for being little more than Chinese labor camps, where labor rights are denied for workers. --India was one of the first countries in Asia to recognize the effectiveness of the Export Processing Zone (EPZ) model in promoting exports, with Asia's first EPZ set up in Kandla in 1965. In order to overcome the shortcomings experienced on account of the multiplicity of controls and clearances; absence of world-class infrastructure, and an unstable fiscal regime and with a view to attract larger foreign investments in India, the Special Economic Zones (SEZs) Policy was announced in April 2000. **--The objectives of SEZs can be explained as** --Generation of additional economic activity; --Promotion of exports of goods and services; --Promotion of investment from domestic and foreign sources; --Creation of employment opportunities; --Development of infrastructure facilities. **The incentives and facilities available to SEZ developers include:** --Exemption from customs/excise duties for development of SEZs for authorized operations approved by the BOA. --Income Tax exemption on income derived from the business of development of the SEZ in a block of 10 years in 15 years under --Section 80-IAB of the Income Tax Act. --Exemption from minimum alternate tax under Section 115 JB of the Income Tax Act. --Exemption from dividend distribution tax under Section 115O of the Income Tax Act. --Exemption from Central Sales Tax (CST). --Exemption from Service Tax (Section 7, 26 and Second Schedule of the SEZ Act).
Special Economic Zone (SEZ) is a specifically delineated duty-free enclave and shall be deemed to be foreign territory for the purposes of trade operations and duties and tariffs. In other words, SEZ is a geographical region that has economic laws different from a country's typical economic laws.
Haii DEFINITION of 'Special Economic Zone - SEZ' Designated areas in countries that possess special economic regulations that are different from other areas in the same country. Moreover, these regulations tend to contain measures that are conducive to foreign direct investment. Conducting business in a SEZ usually means that a company will receive tax incentives and the opportunity to pay lower tariffs. A legislation has been passed permitting SEZs to offer tax breaks to foreign investors. Over half a decade has passed since its inception, but the SEZ Bill has certain drawbacks due to the omission of key provisions that would have relaxed rigid labour rules. This has lessened India's chance of emulating the success of the Chinese SEZ model, through foreign direct investment (FDI) in export-oriented manufacturing.
> **Special Economic Zone** The term special economic zone (SEZ) is commonly used as a generic term to refer to any modern economic zone. It is a geographical region that has economic laws that are more liberal than a country’s typical economic laws. An SEZ is a trade capacity development tool, with the goal to promote rapid economic growth by using tax and business incentives to attract foreign investment and technology. Moreover SEZ’s provide a medium wherein it not only attracts foreign companies looking for cheaper and efficient location to setup their offshore business, but it also allows the local industries to improve their export through a proper channel and with the help of the new foreign partners to the outside world at a very competitive price. The SEZ’s are important in today’s context for the third world countries which have been in the race for rapid economic growth. There are many positives which emerge out of establishing an SEZ. Let us have a look on these factors.
Hie Uma, **Definition of SEZ :-** Special Economic Zone (SEZ) is a specifically delineated duty-free enclave and shall be deemed to be foreign territory for the purposes of trade operations and duties and tariffs. In other words, SEZ is a geographical region that has economic laws different from a country's typical economic laws. Usually the goal is to increase foreign investments. SEZs have been established in several countries, including China, India, Jordan, Poland, Kazakhstan, Philippines and Russia. North Korea has also attempted this to a degree.
Hiiiii friend..... **SEZ - Special Economic Zones** SEZ is defined as a specially delineated duty free enclave and shall be deemed to be foreign territory for the purposes of trade operations and duties and tariffs. These are established with the following objectives. - Generation of additional economic activity - Promotion of exports of Goods & Services - Promotion of Investment from Domestic and Foreign Sources. - Creation of Employment opportunities. - Development of Infrastructure Facilities. etc. Regards,
**Special Economic Zone** SEZ is special economic zone. The objective of SEZ is to boost foreign investment SEZ aims to create a hassle free environment for exports. Special Economic Zone is defined as a specifically delineated duty-free enclave and shall be deemed to be foreign territory for the purposes of trade operations and duties and tariffs. SEZ is a region which is different in economic laws from other economic laws Thanks