SSI units - benefit for exports profits

[madhavvan n]

a ssi unit is engaged in exports of scents etc from Financial year 2009-10 under which section can it avail exemption of export profits under the income tax act. has it to register in an SEZ and be located in a SEZ and if at all it can get benefit then it will be available for how many years. or it can go for EOU ( however in case of EOU the benefit is not available from AY 2010-11) pls give your valuable views

[Surender Gupta]

You may opt for the scheme of tax exemption as prescribed either in Section 80IC or 10AA, The scope of Sections 10A and 10B are highly uncertain since they are on oxygen table and can expiry any time. However, Government is extending the benefit by year in each budget without assuring the continuity.

AI Summary

Export profit exemption options under Section 80IC or 10AA, while other export incentives remain uncertain and EOU benefits restricted. Small scale industry exporters may opt for tax exemption through the schemes cited as 80IC or 10AA; other export-linked incentives lack assured continuity as they are extended year by year. The reply does not mandate SEZ registration and notes Export Oriented Unit benefits are restricted for later assessment years, so relief availability and duration depend on the chosen scheme and evolving fiscal policy.