Sez

Normally in SEZ operations you have to have a SPV(Special Purpose Vehicle)to carry on the business in SEZ.

So if YY Ltd or ZZ Ltd is formed like that ,whichever is formed under the conditionality of the MOU only would be allowed to transfer the properties  and benifits and not others.

kkm

Thank you sir, The new company YY Ltd is going to be formed like a SPV. However, the land for SEZ has been purchsed by XX Ltd (an existing company which is not a SPV) and all application has been processed in the name of XX Ltd only. Now I want to know the procedure to transfer the SEZ benifit entitlement from XX Ltd to YY Ltd after YY Ltd (SPV) is formed.

Also, Is it compulsory that SEZ unit should only be a SPV. Can't an existing company have a seperate SEZ division if they can maintain seperate books of accoutns of SEZ division to show the authorities, the export & related profits of SEZ seperately from the total turn over and profits of the company

For text of SEZ Act, 2005 and SEZ Rules, 2006 refer to our site https://www.indiataxfin.com/

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