SPECIAL ECONOMIC ZONE
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A special economic zone is a dedicated zone wherein businesses enjoy
simple tax and easier legal compliances. SEZs are located within a country’s national borders, however they
are treated as a foreign territory for tax purpose.
SEZ
Act,2005 Main objective – manufacture & export Section 10AA of income tax act, 1961 First 5 years (1-5) – 100% tax discount Next 5 years (6-10) – 50% tax discount Next 5 years (10-15) – 50% tax discount (with conditions)
Benefits
of SEZ 1.
Increase in exports 2.
Employment generation 3.
Population spread 4.
Increase in GDP 5.
No license required for imports |
Importance
of material movement 1.
To prevent theft & pilferage 2.
To maintain all the records
with proper documents for company assets and other materials 3.
Ensure the material is not
damaged 4.
Stock updates 5.
Tracking the material movements
Documents 1.
Gate pass 2.
Delivery challan 3.
Invoice 4.
Bill
The
material moving within the Client location from one building to other building
or Floor to Floor is called internal
material movement.
Any
material moving internal should have valid gate pass and authorized person
approval and signature.
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Invoice is also known
as bill. If
you generate invoice you will have to pay GST The
rate and amount columns definitely mention in the invoice |
Dc (Challan) Challan
is also known as delivery note If
you generate challan, you will not have to pay GST The
rate and amount columns not mention in challan (DC) |
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Inward
returnable |
Inward Non-returnable |
Outward
returnable |
Outward Non-returnable |
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Materials come for temporary period and will be return back to the
sender from where the material has come |
Materials coming to inside company on permanent basis |
Going out for temporary period and expected to return in future |
Materials going out permanently. |