What is SEZ units all about?

A special economic zone is an area in which business and trade laws are different from the rest of the country.
Its locate in the country but have different aims like increased trade, increased investment, job creation and effective administration.

Its specifically duty free and considered as foreign territory for the purposes of trade operations and duties and tariffs.

Business units that set up establishments in an SEZ would be entitled for a package of incentives and a simplified operating environment. Besides, no license is required for imports, including second hand machineries.


https://www.investopedia.com/terms/s/sez.asp

Well answered @ Mayur. 🙂

Though recent changes in the tax regime for SEZs provided a bit of backlash for SEZ , like - 1. Sudden introduction of MAT 2. Introduction of sunset clause for income-tax holiday 3. Removal of DDT exemption etc. Not sure .. any current amendments etc. to further boost up this SEZ phenomenon