Rate
—
Duration
15 years
Prior non-residency
—
required before applying
Standard top income tax
30.0%
India, without the regime
Overview
- Regime
- Special Economic Zones (SEZ)
- Country
- India
- Type
- Exemption
- Status
- Active
- Effective from
- Feb 1, 2006
- Expires on
- —
Details
- Summary
- Tax incentives for units set up in Special Economic Zones including CIT deductions and indirect tax benefits.
- Eligibility
- Units set up in notified SEZs. New SEZ deductions under section 80-IAC for startups and section 10AA for SEZ units.
- Benefits
- 100% CIT deduction for first 5 years, 50% for next 5 years, and 50% of ploughed-back profits for another 5 years under section 10AA. GST exemptions on exports.
- Requirements
- Must be set up in a notified SEZ. Must commence operations within specified timeline.
- Limitations
- Section 10AA sunset: not available for units commencing after April 2020 (existing units continue). AMT may apply.
- Income types covered
- Export profits from SEZ units
- Duration details
- 15 years of tax benefits
Other regimes in India
| Name | Type | Rate |
|---|---|---|
| Startup India Tax Benefits | Exemption | — |
View source Income Tax Department India