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Budget 2025 | SEZs lost sheen after removal of direct tax breaks, govt mulls amendments to attract cos: Govt sources

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          🞛 This publication is a summary or evaluation of another publication 🞛 This publication contains editorial commentary or bias from the source
Sources highlighted that the government plans to introduce changes to Rules and Subordinate Legislation under the SEZ Act to address immediate concerns, as passing the Bill may take time.
The article from CNBC TV18 discusses the Indian government's contemplation of amendments to the Special Economic Zones (SEZ) policy to rejuvenate interest from companies. Following the removal of direct tax benefits in 2020, SEZs have seen a decline in appeal. The government is now considering policy changes to make SEZs more attractive, including potentially allowing partial de-notification of SEZs, which would permit companies to use part of their SEZ space for non-SEZ activities. This move aims to address the issue of vacant spaces within SEZs and encourage more businesses to invest or expand within these zones. Additionally, there is a focus on simplifying regulations and possibly reintroducing some form of tax incentives to boost the competitiveness of SEZs. These considerations come as part of the broader economic strategy ahead of the 2025 budget, aiming to enhance India's export capabilities and economic growth.

Read the Full cnbctv18 Article at:
[ https://www.cnbctv18.com/business/budget-2025-sezs-lost-sheen-after-removal-of-direct-tax-breaks-govt-mulls-amendments-to-attract-cos-govt-sources-19521683.htm ]