IT FIRMS GIVEN MORE REASON TO MOVE TO SEZS

Finance Minister Pranab Mukherjee has given corporate India a very big incentive to move into SEZs. He has allowed companies to keep the tax rebate earned on exports from SEZs separate from a similar rebate earned from units in domestic tariff area (DTAs) - the rest of the country. Mukherjee has promised to bring changes to Section 10AA of the Income Tax Act for this purpose. "This has resulted in discriminatory treatment of assesses having units located both in SEZ and DTA vis-à-vis
assesses having units located only within the SEZs.