TaxTMI 
TaxTMI 
Minutes of the 66th meeting of the Board of Approval for SEZs held on 27th August 2015 to consider proposals for setting up Special Economic Zones and other miscellaneous proposals
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....eal Estate Private Limited for further extension of the validity period of formal approval, granted for setting up of sector specific SEZ for IT/ITES/BPO/Electronic Hardware at "Brooke fields", Village Kundalahalli, Hobli Krishnarajapuram, Taluk Bangalore South, Karnataka, beyond 31st March 2015 The Board after deliberations extended the validity of the formal approval up to 31st March, 2016. (iii) Request of M/s. Adityapur Industrial Area Development Authority for further extension of the validity period of formal approval, granted for setting up of sector specific SEZ for Automobiles/Auto Components at Adityapur, Jamshedpur, beyond 13th June, 2015 The Board noted that DC, FSEZ had not recommended the proposal for further extension and after deliberations rejected the request of the developer to extend the validity of the formal approval. (iv) Request of M/s. Gopalpur Special Economic Zone Ltd. for further extension of validity period of its formal approval for setting up a multi product SEZ at Gopalpur, District Ganjam, Odisha beyond 17th December, 2014 and change of name of the developer to Tata Steel Special Economic Zone Ltd. The Board after deliberations extend....
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....t Vadapalanji, Madurai, Tamil Nadu, beyond 7th May, 2015 The Board after deliberations extended the validity of the formal approval up to 7th May, 2016. (xii) 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 SEZ at Dronagiri, Navi Mumbai, Maharashtra, beyond 29th July 2015. The Board after deliberations extended the validity of the formal approval up to 29th January, 2016 with the condition that the Developer shall submit a clear-cut development plan and action plan of the SEZ and approval of the State Government of Maharashtra within that time-frame. DC, Navi Mumbai SEZ was directed to verify the expenditure claimed by the developer to have incurred for the development of this SEZ alongwith progress made so far on ground. (xiii) Request of M/s. Navi Mumbai SEZ Private Limited for extension of the validity period of formal approval, granted for setting up of sector specific SEZ for IT/ITES-A at Kalamboli, Navi Mumbai, Maharashtra, beyond 25th July 2015 The Board after deliberations extended the validity of the formal approval up to 25th January, 2016 with the conditi....
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....erations, extended the validity of the in-principle up to 29th January, 2016 and advised the Developer to submit an application along with the requisite documents for notification of the SEZ over an area of 573.806 ha. Item No. 66.3 : Requests for extension of LoP beyond 3rd Year onwards (i) Request of M/s. BEML Limited, a unit in KIADB SEZ, Bangalore for extension of LoP beyond 5th January, 2015 The Board after deliberations extended the validity of the LoP up to 5th January, 2016. (ii) Request of M/s. Western Ghat Agricultural Products Processing Pvt. Ltd (WAPCO), a unit in KINFRA SEZ, (Agro based food processing) at Kakkanchery, Malappurma District, Kerala for extension of LoP beyond 22nd July, 2015 The Board after deliberations extended the validity of the LoP up to 22nd July, 2016. (iii) Request of M/s. Pidilite Industries Limited a unit in Dahej SEZ, Bharuch for extension of LoP beyond 15th August, 2015, The Board after deliberations extended the validity of the LoP up to 15th August, 2016. (iv) Request of M/s. Shree Saibaba Petroleum, a unit in KASEZ for extension of LoP beyond 9th June 2012 The Board after deliberations extended the validity of th....
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....iscussed a reference received from the Government of Kerala in which it was stated that the State Government of Kerala leases out land for industrial purposes for a period of 90 years, as per its policy and requested to permit for continuation of lease period as envisaged in the lease agreement. The Board noted that the Undertakings of Government of Kerala are the developers in Technopark, Infopark, Cyberpark and Kerala State IT Infrastructure Ltd. and after deliberations decided to restore the period of lease , as per the lease agreement signed between the Developer and Co-developer. However, this would be applicable in respect of the SEZ projects located in the State of Kerala only and in all other cases, the lease period will continue to be a period not exceeding 30 years (Renewable). Approval of proposals for Co-developer All approvals for co-developers are subject to the condition that particular terms and conditions of lease agreement/co-developer agreement will not have any bearing on the treatment of the income by way of lease rentals/down payment/premium etc., for the purposes of assessment under the Income Tax Act and Rules. The Assessing Officer, will have the righ....
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....deliberations, the Board approved the proposal of M/s. Padiyath Innovationworld Private Limited for co-developer for development & marketing of infrastructure facilities in the SEZ, over an area of 4.11 acres in accordance with the co-developer agreement entered into with the developer, subject to standard terms and conditions as per SEZ Act and Rules. (v) Request of DC KASEZ for cancellation of co-developer status granted to M/s. Worlds Window Infrastructure & Logistics Pvt. Ltd. of FTWZ in Kandla SEZ. After deliberations, the Board of Approval cancelled the co-developer status of M/s. Worlds Window Infrastructure & Logistics Pvt. Ltd. of FTWZ in Kandla SEZ and directed DC, KASEZ to issue show cause notice to M/s. Worlds Window Infrastructure & Logistics Pvt. Ltd for non-implementation of the project. (vi) Request of M/s. Ashray Logistics India Private Limited for co-developer in the multi product SEZ at Nanguneri, Tirunelveli District, Tamil Nadu, being developed by M/s. AMRL Hitech City Ltd. After deliberations, the Board approved the proposal of M/s. Ashray Logistics India Private Limited for co-developer status for Logistics Park including warehousing facilit....
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....at the lease period is reduced to a period not exceeding 30 years (Renewable). (ix) Request of M/s. Wipro Limited for co-developer in the sector specific SEZ for IT/ITES at Bhubaneswar, Odisha, being developed by M/s. Orissa Industrial Infrastructure Development Corporation (IDCO). After deliberations, the Board approved the proposal of M/s. Wipro Limited for co-developer for site development, boundary wall, roads, installation of water supply & sanitation & sewage system, power distribution system, telecom facilities, air conditioning system, warehouse, welfare centre including a first aid centre and crèche & employee business stay facilities, cafeteria, fuel storage, software development of office building and other activity as may be required in processing area, over an area of 26 acres in accordance with the co-developer agreement entered into with the developer, subject to standard terms and conditions as per SEZ Act and Rules provided that the lease period be reduced to a period not exceeding 30 years (Renewable). Item No. 66.5 : Proposals for setting up of SEZs (i) Request of M/s. HCL IT City Lucknow Private Limited for setting up of a sector specifi....
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....onomic Zone for IT/ITES at G-4/1, TTC Industrial Area, Ghansoli, Navi Mumbai, over an area of 6.5 hectares. (v) Request for conversion of in-principle approval into formal approval for setting up of a sector specific Special Economic Zone for Electronic Hardware and Software including IT/ITES at Nanakramguda village, Gachibowli, Serilingampally Mandal, Ranga Reddy District, Telangana, by M/s. Mantri Developers Private Limited, over an area of 1.0504 hectares. The Board noted that the Developer was in possession of the land. The Government of Telangana had also recommended the proposal for approval vide their letter dated 31.07.2015. Accordingly, the Board approved for conversion of in-principle approval into formal approval to the proposal of M/s. Mantri Developers Private Limited, for setting up of a sector specific Special Economic Zone for Electronic Hardware and Software including IT/ITES at Nanakramguda village, Gachibowli, Serilingampally Mandal, Ranga Reddy District, Telangana, over an area of 1.0504 hectares. (vi) Request of M/s. M/s. Aqua Space Developers Pvt. Ltd. for setting up of a sector specific SEZ for IT/ITES at Raidurg village, Serilingampally Mandal, Rang....
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....rd after deliberations, approved the request of M/s. IG3 Infra Ltd. for enhancing the capacity of power generation from 40MW to 48 MW in the non-processing area as per the details given below: S. No. Name of the authorized activity No. of units Area per unit (in sqm.) as per FSI/FAR norms a applicable 1. Enhancement of power project from 40 MW to 48 MW 2 20 acres (iv) Request of M/s. Arshiya International Limited for FTWZ at Pune, Maharashtra for change of name of the developer from Arshiya International Limited to Arshiya Limited and change in shareholding pattern After deliberations, the Board approved the request for change of name of the developer from Arshiya International Limited to Arshiya Limited, and change in shareholding pattern, subject to following conditions:- (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. rul....
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.... relating to change in equity/merger, demerger, amalgamation or transfer in ownership etc. shall be furnished immediately to Member (IT), CBDT, Department of Revenue and to the jurisdictional Authority. (v) The Assessing Officer shall have the right to assess the taxability of the gain/loss arising out of the transfer of equity or merger, demerger, amalgamation, transfer and ownerships etc. as may be applicable and eligibility for deduction under relevant sections of the Income Tax Act, 1961. (vi) The applicant shall comply with relevant State Government laws, including those relating to lease of land, as applicable. (vii) The co-developer shall furnish details of PAN and jurisdictional assessing officer of the co-developer to CBDT. (vii) Inclusion of simulators in the approved list of items for Industrial Licence already approved by BoA in its 61st meeting held on 3rd April, 2014 in respect of M/s Syrma Technology Pvt. Ltd., SEZ unit in Chennai. The Board, after deliberations, approved the request of M/s. Syrma Technology Pvt. Ltd, to include simulators in the approved list of items for Industrial Licence subject to standard terms and conditions as prescribed by MoD....
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....2015. & (iii) Appeal of M/s. Comverse Network Systems Private Limited Unit-2 against the order passed by the UAC, NSEZ in its meeting held on 23rd June, 2015. The Board heard Shri Sanjeev Kumar Goel, Director (Finance) of the appellant Unit. The Board noted that the appellant had submitted a proposal for transfer of its above said Units (I & II) to M/s. Amdocs Development Centre India Pvt. Ltd. under proviso third to Rule 19(2). The Board also noted that the Rule 19(2) is subject to provisions of Rule 74A. Since the appellant company does not satisfy the provisions of Rule 74A, i.e., holding LOA for a period of five years on the date of transfer and to be operational for a minimum period of two years after the commencement of production as on the date of transfer, the BOA concluded that the order dated 23.06.2015 issued by the DC, NSEZ is just and correct. The Board accordingly rejected the appeal. (iv) Appeal of M/s. Soyuz trading company limited against the order passed by the Development Commissioner of Noida Special Economic Zone dated 20th May, 2015. The BOA heard Dy. General Manager of the said M/s. Soyuz Trading Company and after deliberations noted that....
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....ent of relevant formalities in this regard. The BOA after deliberations concluded as follows:- (i) The Approval Committee has rightly decided for cancellation of allotment of Plot as LOA of the unit had already been expired on 28.04.2001 (Trading unit) & 08/08/2002 (manufacturing unit) and they had not made any export during the validity period of LOA. (ii) Appellant has made a request to BOA for transfer of assets & liabilities under Rule 74A and it does not fulfill the conditions of Rule 74A in view of the following reasons: 1. LOA is not valid as on date. 2. The unit did not hold a valid Letter of Approval for a period of five years. 3. Unit has not been operational for a minimum period of two years after the commencement of production as on the date of transfer The Board, hence, rejected the appeal and directed the appellant to complete the exit formalities and surrender the Plot to NSEZ Authority. (vii) Appeal of M/s. Ess Ess Traders against the order passed by the DC, NSEZ dated 22nd April, 2015. No representative of the Unit appeared for personal hearing. The BOA noted that the LOA of the above Unit had expired on 31st March, 2013. The BOA also ....
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....ards the Unit. The BOA after deliberating on the facts mentioned above, rejected the appeal. (x) Appeal of M/s. Indo Widecom International Ltd., a unit in NSEZ against order dated 17th October, 2014 of the UAC Shri Manpreet Sood, Advocate appeared and argued the case on behalf of the appellant. The BOA noted that the appeal was listed in the 65th BOA but since no representative of the appellant appeared for personal hearing, the BOA had then given another opportunity to the appellant. The BOA noted that the Unit has been lying non-functional since 2009-10. The LOA has expired on 30.04.2013. During last five years block, unit has made export of Rs. 1.02 Lacs and achieved NFE of Rs. 12000/- only upto 31.3.2012. The unit has not submitted APRs on time. Lease rent of Rs. 18,27,758/- is outstanding against the Unit as on 5th November, 2012. In addition, the unit has not submitted rectified Bond-Cum-Legal-Undertaking and thus non-compliance of terms of LoA/SEZ Act/Rules. After deliberating on the facts mentioned above, the BOA reverted the appeal to DC, NSEZ for verifying the contentions of the appellant from official records and decide the appeal accordingly. ....
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....to DC to take appropriate decision on the request of the Unit after giving the opportunity for personal hearing. Decision on Supplementary Agenda Item No. 66.10 : Requests for extension of validity of formal approvals (i) Request of M/s. Mittal Infratech 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 Sewah, GT Road, District Panipat, Haryana, beyond 14th October, 2012 The Board after deliberations condoned the delay and extended the validity of the formal approval up to 23rd February, 2016. (ii) Request of M/s. State Industries Promotion Corporation of Tamil Nadu Limited (SIPCOT) for further extension of the validity period of formal approval, granted for setting up of sector specific SEZ for Granite Processing industries at Bargur, Uthangarai and Pochampalli Taluk, Krishnagiri District, Tamil Nadu, beyond 10th March 2015. The Board after deliberations extended the validity of the formal approval up to 10th March, 2016. (iii) Request of M/s. Milestone Buildcon Pvt. Ltd. for further extension of the validity period of formal approval, granted for setting up of sector....
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....being developed by M/s. GIFT SEZ Ltd. After deliberations, the Board approved the proposal of M/s. Reliance Capital Ltd. for co-developer status for (i) infrastructure development of office building in processing area to undertake export of services, over an area of 3,00,000 sq.ft. and (ii) residential building in non-processing area for management, official staff and the workers of the SEZ units, over an area of 2,00,000 sq.ft., in accordance with the Draft lease-cum development agreement entered into with the developer subject to standard terms and conditions as per SEZ Act and Rules provided that the lease period is reduced to a period not exceeding 30 years (Renewable). (iii) Request of M/s. HBS City Pvt. Ltd. a co-developer in the Pharmaceuticals SEZ at GIDC, Panoli Industrial Estate, Panoli, District Bharuch, Gujarat, being developed by M/s. HBS Pharma SEZ Pvt. Ltd., for additional area. The Board, after deliberations, approved the request of M/s. M/s. HBS City Pvt. Ltd. for addition of an area of 56 acres of non-processing area in the SEZ in the already approved 50 acres of non-processing area for providing infrastructure facilities, construction of residential and ....
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....ity change, transfer, taxability etc. (iv) Full financial details relating to change in equity/merger, demerger, amalgamation or transfer in ownership etc. shall be furnished immediately to Member (IT), CBDT, Department of Revenue and to the jurisdictional Authority. (v) The Assessing Officer shall have the right to assess the taxability of the gain/loss arising out of the transfer of equity or merger, demerger, amalgamation, transfer and ownerships etc. as may be applicable and eligibility for deduction under relevant sections of the Income Tax Act, 1961. (vi) The applicant shall comply with relevant State Government laws, including those relating to lease of land, as applicable. (vii) The co-developer shall furnish details of PAN and jurisdictional assessing officer of the co-developer to CBDT. (ii) Request of M/s. Ascendas IT SEZ (Chennai) Pvt. Ltd. a co-developer in the IT/ITES SEZ of Mahindra World City SEZ, Chennai for change of name to M/s. Cyber Pearl Information Technology Park Private Limited After deliberations, the Board approved the request for change of name of the co-developer from M/s. Ascendas IT SEZ (Chennai) Pvt. Ltd. to M/s. Cyber Pearl I....
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....up of a sector specific SEZ for Biotechnology including Bio-Plastics or other Bio based or Bio-degradable Environment friendly Products, Pharmaceuticals and Chemical sector at Mouza: Jamner and Kharassi, Tehsil Arvi, District Wardha, Maharashtra, over an area of 86.15 hectares. The approval is subject to compliance of the following conditions by the developer:- (i) Developer has taken a loan of Rs. 151.80 crores by mortgaging the land to Andhra Bank a nationalized Bank, as per the Central Govt. guidelines land should be free from all encumbrances by the developer. (ii) The land location layout plan submitted by the developer indicates that land is (86.15 ha.) not contiguous. However developer confirms the minimum area i.e. 50 hectares land for sector specific SEZ is contiguous. Hence subject to satisfying the criteria of minimum land requirement of 50 hectares contiguous to be ensured. (iii) Developers should fulfill the provisions of State Government Act and Rules in respect of purchase of Agricultural land for Industrial Purposes. The developer must ensure at the time of formal approval that:- (i) The land should be free from all encumbrances by the developer; and,....