Excemption of Excise, Octroi, for SEZ units, Central Excise

[deepak karkera]

i want to know, whether sez units have to pay excise, octroi if the machine purchased from DTA Units. please inform me Thanks

Posts / Replies

[Mangesh Lokre]

Special Economical Zones although located in India, are also regarded as Foreign Territory and any export to SEZ units is treated as Physical Export for the purposes of benefits

Please go through the Circular  No. 29/2006-Cus., dated 27-12-2006 where in the details procedure is given for DTA procurement and clearance thereto.

The Supplies made by the DTA unit are treated as Physical Export and are free from all type of duties.

For Octroi exemption, you have to file "N Form" wherein it is to be closed within the stipulated time.