TaxTMI 
TaxTMI 
Minutes of the 106th meeting of the Board of Approval for SEZ held on 7th October, 2021 to consider setting up of Special Economic Zones and other miscellaneous proposals
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....PL-2, Rajiv Gandhi Infotech Park, Phase II, Hinjewadi, Pune, Maharashtra. The Board, after deliberations, noted that LOA of developer has already expired and decided not to grant further extension. Development Commissioner, SEEPZ was directed to take consequential action as per SEZ laws. 106.3 Request for extension of LoA of the units (five proposals) 106.3(i) Request of M/s Mahadi Organics Pvt. Ltd., a unit in Plot No. Z/51 & Z/52 Dahej SEZ Ltd. at Village Luvara, Taluk Vagra, Distt. Bharuch, Gujarat for extension of the Letter of Approval (LoA) upto 03.09.2022. The Board, after deliberations, approved extension of the validity of LoA up to 3rd September, 2022. 106.3(ii) Request of M/s Axiom Chemicals Pvt. Ltd. in Plot No. Z/80, Dahej SEZ Ltd, Dahej, Village Luvara, Tulak Vagra, Distt. Bharuch, Gujarat for extension of the Letter of Approval (LoA) for one year beyond 26.10.2021 upto 26.10.2022. The Board, after deliberations, approved extension of the validity of LoA up to 26th October, 2022. 106.3(iii) Request of M/s. Sands Infrabuild Private Limited, unit in Smartcity (Kochi) Infrastructure Private Limited SEZ for extension of the Letter of Approval (LoA) be....
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....No. 98 dated 29.08.2019. 106.4(iii) Request of M/s. Infinit Infratech LLP., for approval as a Co-Developer in Plot No. 13/4, MIDC-ITATES SEZ, Rajiv Gandhi Infotech Park, Hinjewadi, Phase-III, Pune 411 057 for the purpose of construction of all type of buildings in processing area, operation and maintenance of infrastructure and leasing of floors to SEZ units. The Board, after deliberations, approved the proposal of M/s. Infinit Infratech LLP, for co-developer status in Plot No. 13/4, MIDC-IT/ITES SEZ, Rajiv Gandhi Infotech Park, Hinjewadi, Phase-III, Pune for the purpose of construction of all types of buildings in processing area, operation and maintenance of infrastructure and leasing of floors to SEZ units in accordance with the co-developer agreement dated 16.06.2021 entered into with the developer i.e. MIDC, subject to standard terms and conditions as per the SEZ Act and Rules provided that the lease period shall be in accordance with DoC's Instruction No. 98 dated 29.08.2019. 106.4(iv) Proposal of M/s. AEML SEEPZ Limited for Co-Developer status for implementation of reduction of tariff charges for electricity in SEEPZ SEZ. The Board, after deliberations, appro....
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....e capital gains, equity 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. 106.5(ii) Request for approval of transfer of 100% equity shareholding in MPSEZ Utilities Limited (co-developer) from Adani Ports and SEZ Ltd. to Adani Transmission Limited. The Board, after deliberations, approved the proposal for transfer of 100% equity shareholding in MPSEZ Utilities Limited (co-developer) from Adani Ports and SE....
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....ership 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. 106.5(iv) Request of M/s. Experion Hospitality (Hyderabad) Pvt. Ltd. for approval for transfer of their shares to M/s. Phoenix Ventures Pvt. Ltd., developer of the IT/ITES SEZ at Ranga Reddy District, Telangana. The Board while considering the proposal noted that certain inquiry was being conducted by office of the Directorate of Enforcement, Jaipur under the provisions of FEMA, 1999 against M/s Experion Hospitality Hyderabad Pvt Ltd (formerly known as Gold Resorts and Hotel (Hyderabad) Pvt Ltd), RoC-....
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....eria applicable to developer, including security clearances etc. by the altered developer entity and its constituents; iii. Applicability of and compliance with all relevant rules of Revenue/Company Affairs/SEBI etc., which regulate issues like capital gains, equity 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 developer shall furnish details of PAN and jurisdictional assessing officer of the developer to CBDT. 106.6 Procurement of restricted items from DTA (three proposals) 106.6(i) Procurement of....
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....d all the environmental and other relevant regulations are complied with. 106.6(iii) Proposal of M/s Laxmi Ideal Interiors for procurement of 'Mother of Pearl' as raw material in respect of its unit located in the Multi-Product SEZ of M/s Mahindra World City (Jaipur) Ltd. at Village Kalwara, Jhai, Bhamboriya, Bagru Khurd & Newta, Tehsil-Sananer, Distt. Jaipur, Rajasthan. While considering the proposal, DC, NSEZ informed to the Board that 'Mother of Pearl (MOP)' is being procured and placed by the DTA unit on the wooden furniture supplied by the SEZ unit. The SEZ unit is not carrying out any cutting, polishing of MoP in its premises. The Board was also informed that the NOC from the Wildlife Crime Control Bureau would need to be obtained by the DTA unit. In view of submission by DC, NSEZ, the Board, after deliberations, decided to approve the proposal for procurement of 'Mother of Pearl' as raw material in respect of its unit located in the Multi-Product SEZ of M/s Mahindra World City (Jaipur) Ltd. at Village Kalwara, Jhai, Bhamboriya, Bagru Khurd & Newta, Tehsil-Sananer, Distt. Jaipur, Rajasthan 106.7 Miscellaneous cases (two proposals) 106.7(....
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....SF Projects Limited for setting up of a Multi-Product FTWZ at Ankulpaturu Village, SPSR Nellore District, Andhra Pradesh over an area of 50 Ha (132.96 Acres). The Board, after deliberations, approved the proposal for setting up of a Multi-Product FTWZ at Ankulpaturu Village, SPSR Nellore District, Andhra Pradesh over an area of 50 Ha. (132.96 Acres). 106.10 Appeal (one appeal) 106.10(i) Appeal dated 18.08.2021 filed by M/s Mikado Realtors Private Limited against the decision of the UAC, NSEZ rejecting the request for exemption for the labour charges paid for installation of electric cable from Electricity Department outside the zone to the power station in the zone. M/s Mikado Realtors Private Limited was granted formal approval for setting up of sector specific SFZ for Electronic Hardware, IT/ITES over an area of 11.028 Ha at village Behrampur & Balola District, Gurgaon, Haryana on 30.10.2008. In the course and process of performing their authorized operations, the appellant is required to establish certain facilities including uninterrupted supply of power to the units to be established in the zone. They had accordingly approached the electricity department to prov....
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....or authorised operations within the SEZ and not meant for any non-SEZ purpose. • The fact that the labour charges have a clear nexus to the authorised operations of SEZ developer and the same is exclusively used for such purpose has not been disputed by UAC. • Further, the appellant had shared decision of Hon'ble Delhi High Court in the case of Jindal Stainless Steel vs Union of India, wherein para 32 stipulates that "A plain grammatical reading of section 26(1) (e) of the SEZ Act, 2005 makes it clear that taxable services provided by a service provider to a Developer or a Unit/entrepreneur to carry out authorised operations in a Special Economic Zone are exempted from levy of service tax. Similarly, a bare perusal of Rule 31 of the SEZ Rules, 2006 make it abundantly clear that the exemption from service tax is available on services rendered to a developer or a unit/entrepreneur for carrying out authorised operations. Further, from a combined reading of section 26(1)(e) with Rule 31 makes it evident that the only condition that is required to be satisfied to avail the service tax benefit under the said provisions is that the services must be rendered f....
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..../s. DLF Limited for setting up of an IT/ITES SEZ over an area of 20.02 hectares at Villages Kherki Daula and Shikohpur, Tehsil - Manesar, Distt - Gurugram (Haryana). The Board noted that there are some contiguity issues in the proposal. Accordingly, DC, NSEZ desired to withdraw the proposal, which was allowed by the Board with direction to submit the revised proposal. 106.13 Proposal for increase in area of developer (one proposal) 106.13(i) Request of M/s. J. Matadee Free Trade Zone Private Limited, an FTWZ located at Mannur and Valarpuram Villages, Permbakkam Road, Sriperumbudur Taluk, Kancheepuram District, Tamil Nadu, for an increase in area of 9.333 Ha (beyond 10%) to their existing notified area of 84.775 Ha. The Board, after deliberations, decided to defer the proposal. 106.14 Miscellaneous Cases (one proposal) 106.14(i) Irregularities and compliance issues in the port based SEL developed buy Cochin Port Trust in Puthuvypeen, Ernakulam. The Board, after deliberations allowed exit of BPCL and directed DC to re-submit the viable proposal with respect to the rest of the entities within the framework of SEZ law in consultation with the Developer. 106.14(i....
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....after deliberations, approved the proposal of M/s. ATS Savvy Developers LLP for use of 2220 square meters of area out of the approved total area of 2888 square meters for the multi-level car parking for allotment to approved SEZ units in the category of IFSC, FTWZ, IT/ITES, in order to optimize the use of built-up area subject to standard terms and conditions as per the SEZ Act and Rules provided that the lease period shall be in accordance with DoC's Instruction No. 98 dated 29.08.2019. The approval further will be subject to adherence/compliance of any other mandatory/statutory norms of all concerned Regulatory Authority (s), local area norms, building use approval/permission. 106.17(ii) Appeal filed by M/s HCL Technologies Ltd. against the decision of the UAC, NSEZ vide order dated 07.01.2020 rejecting the request of the unit for inclusion of Group Health and Insurance Services as Authorized Operations of the unit and its coverage under default service namely "General Insurance Business Service". The Board was informed that the appeal filed by M/s HCL Technologies was heard by the Board in its 95th meeting held on 14.02.2020 and as per direction, the matter was referre....
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....f notification. However, the percentage of export obligation may be decided after review/audit undertaken as mentioned in amended notification. Representatives of Department of Revenue confirmed that the existing revised policy would require that plastic recycling units would have to be assessed for their performance with respect to their performance with respect to export obligations as well as other conditions at the end of 18 months from the date of notification of MoEF&CC i.e. 27.01.2021 and only based on satisfactorily outcome of such assessment, further extension could be considered for such units. The Board, after deliberations, decided that considering any extension beyond 18 months would be pre-mature at this juncture. ****** Annexure List of Participants for the Meeting of the Board of Approval for Special Economic Zones held On 7th October, 2021 under the Chairmanship of Commerce Secretary, Department of Commerce. List of participants presented in Room No. 141: 1. Shri B.V.R. Subrahmanyam, Chairman, BoA & Commerce Secretary, Department of Commerce. 2. Shri S. Kishore, Special Secretary, Department of Commerce. 3. Shri Amit Yad....