<h1>India Confirms No Tax-Free Zones; SEZs and EOUs Offer Tax Exemptions; Special Incentives for Certain Regions.</h1> There are no tax-free zones currently in operation in India. However, tax exemptions are available through schemes like Special Economic Zones (SEZs) and Export Oriented Units (EOUs), overseen by the Department of Commerce. Additionally, special incentives, including tax concessions, are provided to Jammu and Kashmir, Himachal Pradesh, Uttarakhand, and North Eastern States under the Industrial Policy by the Department of Industrial Policy Promotion. The Ministry of Finance has no plans to declare any areas as tax-free zones, as confirmed by a government official in a written response to the Lok Sabha.