Question

Explain any five facilities available in the special economic zones
developed by the Central and State Governments to attract foreign​

Answer 1

Answer:

The following are the benefits for an unit setting up in special economic zones

-Duty free domestic procurement of goods for the development and maintenance of the company .

-100% income tax exemption on export income for first five years and 50% for the next 5 years.

-Exemption from minimum alternative tax Central sales tax service tax state sales tax and number of other taxes usually lived by local governments .

-External commercial borrowing allowed up to us 500 million dollars A Year Without restrictions.

-Permission to manufacture products delivery as long as the good that can be produced fall within a sector which allows 100% FDI.

✨Hope it will be helpful.✨

Answer 2

Five facilities available in the Special Economic Zones ( SEZs ) by the central and state governments to attract foreign investment :

( i ) Duty free import and domestic procurement of goods for the development , operation , and maintenance of your company .

( ii ) 100 percent income tax exemption on export income for first five years , 50 percent for five years thereafter , and 50 percent of the export profit reinvested in the business for the next five years .

(iii ) Exemption from the Goods and Services Tax ( GST ) and levies imposed by state government . Supplies to SEZs are zero rated under the IGST Act , 2017 , meaning they are not taxed .

iv )External commercial borrowing ( ECB ) is allowed up to US $ 500 million a year without restriction . For developers of an SEZ , the ECB channel may be availed after receiving government approval ,