TaxTMI 
TaxTMI 
Minutes of the 60th meeting of the SEZ Board of Approval held on 8th November 2013 to consider proposals for setting up Special Economic Zones and other miscellaneous proposals
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....r 2011-12. Exports in the current financial year, up to 30.09.2013, have been to the tune of Rs. 2,46,646 crores registering a growth of 3% over the exports of the corresponding period of FY 2011-12. Item No. 60.1: Proposals for setting up of SEZs (i) Proposal of M/s. Kerala State IT Infrastructure Ltd. (KSITIL), for setting up of a sector specific Special Economic Zone for IT/ITES at Muringur and Thekkumuri Villages, Mukundapuram Talu, Koratty Panchayath, Thrissur District, Kerala, over an area of 7.4909 hectares. The Board noted that the Developer was in possession of the land. The Government of Kerala had also recommended the proposal for formal approval vide their letter dated 14.06.2013. Accordingly, the Board decided to grant formal approval to the proposal of M/s. Kerala State IT Infrastructure Ltd. (KSITIL), for setting up of a sector specific Special Economic Zone for IT/ITES at Muringur and Thekkumuri Villages, Mukundapuram Talu, Koratty Panchayath, Thrissur District, Kerala, over an area of 7.4909 hectares. (ii) Proposal of M/s. Transcendent Developers Pvt. Ltd., for setting up of a sector specific Special Economic Zone for IT/ITES at Wagholi & Bhavadi, Taluk....
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....th the co-developer agreement entered into with the developer. (iii) Request of M/s. GSPC LNG Ltd. for co-developer in the multi product SEZ at Mundra, Kutch, Gujart, being developed by M/s. Adani Port and Special Economic Zone Ltd alongwith specific authorized operations. The Board heard the representatives of M/s GSPC LNG Ltd. It was noted by the Board that the Environment Clearance of the project had not been received. Certain other details relating to the proposed operations of the company were sought which the applicant agreed to provide. After deliberations, the Board decided that the matter be decided after examination on file by DoC. Item No. 60.3: Request for decrease in area of SEZ (i) Request of M/s. APIIC Limited for decrease in area of the sector specific SEZ for IT/ITES at Gambheeram Village, Anandapuram Mandal, Visakhapatnam, Andhra Pradesh After deliberation, the Board approved the proposal of M/s. APIIC Limited for decrease in area by 10.66 hectares from the existing area of 20.76 hectares of the SEZ thereby making the total balance area of the SEZ as 10.109 hectares. The approval is subject to the DC furnishing a certificate in the prescribed format....
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.... year) The Board after deliberations extended the validity of the formal approval for one year i.e. up to 31st October, 2014. (ii) Request of M/s. Myron Realtors Pvt. Ltd. for further extension of the validity period of formal approval, granted for setting up of sector specific SEZ for IT/ITES at Santhal Junction, Taluka Sanand, District Ahmedabad, Gujarat, beyond 12th November, 2013 (beyond 5th year) The Board after deliberations extended the validity of the formal approval for six months i.e. up to 12th May, 2014. (iii) Request of M/s. Opto Infrastructure Ltd. for further extension of the validity period of formal approval, granted for setting up of sector specific SEZ for Manufacturing Equipments, Devices, Accessories and Consumable for Medical Applications at Hassan, Karnataka, beyond 23th September 2013 (beyond 5th year) The Board after deliberations extended the validity of the formal approval for one year i.e. up to 23rd September, 2014. (iv) Request of Kerala State Information Technology Infrastructure Limited for further extension of the validity period of formal approval, granted for setting up of sector specific SEZ for IT/ITES at Cheemeni Village, Kasa....
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....ncy Services Ltd. for further extension of the validity period of formal approval, granted for setting up of sector specific SEZ for IT/ITES at IT Plot (IIF/3), Area-II, New Town, Kolkata, beyond 13th December 2013 (beyond 5th year) The Board after deliberations extended the validity of the formal approval for one year i.e. up to 13th December, 2014. (xi) Request of M/s. Navi Mumbai SEZ Private Limited for further extension of the validity period of formal approval, granted for setting up of sector specific SEZ for IT/ITES-A at Ulwe, Navi Mumbai, Maharashtra, beyond 24th October 2013 (beyond 6^th year) The Board after deliberations extended the validity of the formal approval for one year i.e. up to 24th October, 2014. (xii) Request of M/s. Navi Mumbai SEZ Private Limited for further extension of the validity period of formal approval, granted for setting up of sector specific SEZ for IT/ITES-B at Ulwe, Navi Mumbai, Maharashtra, beyond 24th October 2013 (beyond 6^th year) The Board after deliberations extended the validity of the formal approval for one year i.e. up to 24th October, 2014 (xiii) Request of M/s. Navi Mumbai SEZ Private Limited for further extension ....
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....Unitech Infracon Ltd. for further extension of the validity period of formal approval, granted for setting up of sector specific SEZ for IT/ITES at Plot No. TZ - 04, Greater Noida, Uttar Pradesh, beyond 22nd May, 2013 (beyond 6th year) The Board after deliberations extended the validity of the formal approval for six months from 8th November, 2013 i.e till 8th May, 2014. (xx) Request of M/s. Lodha Dwellers Pvt. Ltd. for further extension of the validity period of formal approval, granted for setting up of sector specific SEZ for IT/ITES at village Narivali, Taluka & District Thane, Maharashtra, beyond 2nd May, 2013 (beyond 6th year) The Board after deliberations extended the validity of the formal approval for one year i.e. up to 2nd May, 2014. (xxi) Request of M/s. Navi Mumbai SEZ Private Limited for extension of the validity period of formal approval, granted for setting up of multi product at Dronagiri, Navi Mumbai, Maharashtra, beyond 29th July 2013 (beyond 6th year) The Board after deliberations extended the validity of the formal approval for one year i.e. up to 29th July, 2014. (xxii) Request of M/s. Navi Mumbai SEZ Private Limited for extension of the vali....
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.... on account of a land dispute with Municipal Corporation of Gurgaon. The representative of Gov. of Haryana was also heard by the BoA, who recommended that further extension be permitted to the developer. The Board after deliberations extended the validity of the formal approval for a period of six months i.e. up to 05th May 2014, subject to the final outcome of the pending land dispute with the Municipal Corporation of Gurgaon. Item No. 60.6: Request for de-notification (i) Request from Rajasthan State Industrial Development & Investment Corporation Limited (RIICO), a sector specific SEZ for Handicraft at Boranada, Jodhpur, Rajasthan, for de-notification of its SEZ notified over an area of 72.37 hectares. After deliberations, the Board decided to approve the proposal of Rajasthan State Industrial Development & Investment Corporation Limited (RIICO) for de-notification of the sector specific SEZ for Handicraft at Boranada, Jodhpur, Rajasthan, notified over an area of 72.37 hectares. The approval is subject to the DC furnishing a certificate in the prescribed format certifying inter alia that the developer has either not availed or has refunded all the tax/duty bene....
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....tech Ltd., a unit in Sterling SEZ at Bharuch, Gujarat for extension of validity period of its LoP beyond 30th September, 2013 The Board after deliberations extended the validity of the LoP for a period of one year i.e. up to 30th September, 2014. (vi) Request of M/s. Vigor Laboratories, a unit in Indore SEZ at Indore, Madhya Pradesh for extension of validity period of its LoP beyond 21st July, 2013 The Board after deliberations extended the validity of the LoP for a period of one year i.e. up to 21st July, 2014. (vii) Request of M/s Colour Chips New Media Limited, a unit in APIIC IT SEZ at Madhurvada, Visakhapatnam, Andhra Pradesh for extension of validity period of its LoP beyond 4th March, 2013 The Board after deliberations extended the validity of the LoP for a period of one year i.e. up to 4th March, 2014. (viii) Request of M/s Amtech Electronics (India) Ltd., a unit in GIDC SEZ at Gandhinagar, Gujarat for extension of validity period of its LoP beyond 6th September 2012 The Board after deliberations extended the validity of the LoP for a period of 6 months from 8th November, 2013 i.e.up to 8th May, 2014. (ix) Request of M/s XL Energy Limited, a unit in ....
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.... Polymers Pvt. Ltd. After deliberations, in view of the provisions of Rule 18(4) of the SEZ Rules, the Board granted in-principle approval for renewal of LoPs of the above 28 units dealing in business of recycling of plastic in SEZs for a period of five years, subject to the conditions (i) All conditions stipulated as per DoC's policy Guidelines of 17th Sept, 2013 are to be made applicable while granting such approval. (ii) Specifically as per para (x) of the above guidelines the Units in addition to meeting their NFE obligation are required to ensure that the prescribed minimum percentage of the unit's annual turnover is physically exported out of the country. The minimum physical export levels prescribed at the end of specified periods is as follows: Period Minimum Physical Export Obligation At the end of 2nd year Not less than 40% of the total annual turnover At the end of 4th year Not less than 80% of the total annual turnover At the end of 5th year 100% of the total annual turnover After the 5th Year, the unit will be required to continue to physically export 100% of their annual turnover. Any violation of the above prescribed Minimum Phy....
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....ealing in the business of worn and used clothing in SEZs for a period of five years, subject to the conditions (i) All conditions stipulated as per DoC's policy Guidelines of 17th Sept, 2013 are to be made applicable while granting such approval. (ii) Specifically as per para (x) of the above guidelines the Units in addition to meeting their NFE obligation are required to ensure that the prescribed minimum percentage of the unit's annual turnover is physically exported out of the country. The minimum physical export levels prescribed at the end of specified periods is as follows: Period Minimum Physical Export Obligation At the end of 2nd year Not less than 40% of the total annual turnover At the end of 4th year Not less than 80% of the total annual turnover At the end of 5th year 100% of the total annual turnover After the 5th Year, the unit will be required to continue to physically export 100% of their annual turnover. Any violation of the above prescribed Minimum Physical Export Obligation at the end of 2nd, 4th and 5th years would lead to imposition of penalty and cancellation of the unit's LOP. (iii) In terms of Rule 18(4)(c) the a....
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....he power plant will be strictly captive in nature, will be set-up in the non-processing area and will not get duty benefits for the investments made prior to notification of the SEZ. (iii) Proposal of M/s. MMG Impex, a unit in MEPZ for manufacture of additional items The Board noted that the unit has applied for fresh LoP for manufacture of following items:- (i) Sandalwood handicraft products (ii) Sandalwood machine made products (iii)Sandalwood chips (upto 50 grams per piece) (iv)Sandalwood power/dust (v) Sandalwood flakes/scrap/waste The representative of MoEF expressed his reservations on the said proposal. The Board after deliberations decided to reject the proposal. (iv) Proposal of M/s. L&T Shipbuilding Ltd., a unit in M/s. L&T Shipbuilding Ltd. SEZ at Kattupalli, Tamil Nadu requesting permission to import restricted items The Board noted that the unit has sought approval for procurement of restricted items for use in the shipbuilding activities. The Board after deliberations decided that the views of M/o Defence and M/o Home Affairs be obtained by DoC and the matter be processed further on file by DoC after taking into account the comments so re....
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....liable to refund the duty incentives availed on such assets which are not shifted to the new location of the unit. (x) Request from M/s. Sterlite Industries (I) Ltd., developer of sector specific SEZ for Copper at Vilage Veerapandiapuram, Tuticorin, Tamil Nadu for approval of its amalgamation with M/s. Sesa Goa Ltd. and for change of name of the SEZ to M/s. Sesa Sterlite Ltd. The Board approved the request of M/s. Sterlite Industries (I) Ltd. for name change of developer to M/s. Sesa Sterlite Ltd. pursuant to amalgamation of M/s. Sterlite Industries (I) Ltd. with M/s. Sesa Goa Ltd., subject to:- (i) Seamless continuity of the SEZ activities with unaltered responsibilities and obligations for the altered developer entity; (ii) Fulfillment of all eligibility criteria applicable to developers, including security clearances etc., by the altered developer entity and its constituents; (iii) Applicability of and compliance with all Revenue / Company Affairs /SEBI etc. rules which regulate issues like capital gains, equity change, transfer, taxability etc. (iv) Full financial details relating to the transfer of equity shall be furnished immediately to the Member (IT) CBDT....
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.... Revenue / Company Affairs /SEBI etc. rules which regulate issues like capital gains, equity change, transfer, taxability etc. (iv) Full financial details relating to the transfer of equity shall be furnished immediately to the Member (IT) CBDT, Department of Revenue. (v) The assessing officer under the Income Tax Act, 1961, shall have the right to assess the taxability of the amount arising out of the transfer of equity. (vi) The applicants shall comply with relevant State Government laws, including those relating to lease of land, as applicable. (vii) The applicants shall maintain separate books of accounts for its co-developer function distinct from its SEZ unit. Item No. 60.12 : Applications for grant of Industrial Licence for items to be produced in SEZs The subject of issue of Industrial License for Defence related items for SEZs and EOUs was earlier being handled by the Department of Industrial Policy and Promotion. However, the subject has now been transferred to Department of Commerce. The matter was examined in the Department of Commerce and it was decided to place all such proposals / requests before BoA for its consideration. (i) Application o....
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....(formerly Parsvnath SEZ Limited) for denotification of the sector specific SEZ for IT/ITES at Sahastra Dhara Road, Dehradun, Uttarakhand, notified over an area of 13.5426 hectares. The approval is subject to the DC furnishing a certificate in the prescribed format certifying inter alia that the developer has either not availed or has refunded all the tax/duty benefits availed under SEZ Act/Rules in respect of the area to be de-notified, there are either no units in the SEZ or the same have been debonded, the State Govt has no objection to the de-notification proposal and subject to stipulations communicated vide DoC's letter No. D.12/45/2009-SEZ dated 13.09.2013 (ii) Request from M/s. Mayar Infrastructure Development Pvt. Ltd., developer of a sector specific SEZ for Biotechnology at Village Rakha & Rani-ka-Singola, Tehsil Sohna Dist. Gurgaon, Haryana for de-notification of its SEZ notified over an area of 25.7177 hectares. The Board noted that Govt of Haryana has given their no objection to the denotification proposal of the Developer. After deliberations, the Board decided to approve the proposal of M/s. Mayar Infrastructure Development Pvt. Ltd. for de-notification of....
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....and pass speaking order within 30 days. The meeting ended with a vote of thanks to the Chair. ********* Annexure - 1 List of Participants for the Meeting of the Board of Approval for Special Economic Zones held on 8th November, 2013 under the Chairmanship of Commerce Secretary, Department of Commerce 1. Shri S. R. Rao, Chairman, BOA & Commerce Secretary, Department of Commerce. 2. Shri A.K. Pujari, DGFT, Director General of Foreign Trade 3. Shri Ram Tirath, DGEP, Department of Revenue, Ministry of Finance 4. Dr. L. B. Singhal, Additional DGFT, Director General of Foreign Trade 5. Ms. Deepshikha Sharma, Deputy Secretary (ITA 1), CBDT, Department of Revenue, Ministry of Finance 6. Shri Jitendra Kumar, Additional Director, DGEP, Department of Revenue, Ministry of Finance 7. Shri Manoj Kumar Arora, Additional Director, DGEP, CBEC, Department of Revenue. 8. Dr. T. Pradhan, Joint Resident Commissioner, Government of Odisha 9. Mrs. Nandini Awade, Assistant Resident Commissioner, Government of Maharashtra 10. Shri Ashok Sangwan, Director Industries, Government of Haryana 11. Shri E.V. Narsimha Reddy, Executive Director, APIIC, Hyderabad 12. S....