<h1>SEZ incentives: tax and duty exemptions for units supporting export promotion and investment attraction and employment growth.</h1> Special Economic Zones receive a uniform set of statutory incentives under the SEZ Act and rules to promote exports and investment: duty free import and domestic procurement for SEZ development and operations; staged income tax exemptions on export income including tax relief for reinvested export profits; exemptions from central sales tax and service tax; and state sales tax and other state levy exemptions as extended by states. The government periodically reviews policy and has amended SEZ Rules to address implementation challenges and improve flexibility.