26. Exemptions, drawbacks and concessions to every Developer and entrepreneur.—(1) Subject
to the provisions of sub-section (2), every Developer and the entrepreneur shall be entitled to the
following exemptions, drawbacks and concessions, namely:—
(a) exemption from any duty of customs, under the Customs Act, 1962 (52 of 1962) or the
Customs Tariff Act, 1975 (51 of 1975) or any other law for the time being in force, on goods
imported into, or services provided in, a Special Economic Zone or a Unit, to carry on the authorised
operations by the Developer or entrepreneur;
(b) exemption from any duty of customs, under the Customs Act, 1962 (52 of 1962) or the
Customs Tariff Act, 1975 (51 of 1975) or any other law for the time being in force, on goods exported
from, or services provided, from a Special Economic Zone or from a Unit, to any place outside India;
(c) exemption from any duty of excise, under the Central Excise Act, 1944 (1 of 1944) or the
Central Excise Tariff Act, 1985 (5 of 1986) or any other law for the time being in force, on goods
brought from Domestic Tariff Area to a Special Economic Zone or Unit, to carry on the authorised
operations by the Developer or entrepreneur;
(d) drawback or such other benefits as may be admissible from time to time on goods brought or
services provided from the Domestic Tariff Area into a Special Economic Zone or Unit or services
provided in a Special Economic Zone or Unit by the service providers located outside India to carry
on the authorised operations by the Developer or entrepreneur;
(e) exemption from service tax under Chapter V of the Finance Act, 1994 (32 of 1994) on taxable
services provided to a Developer or Unit to carry on the authorised operations in a Special Economic
Zone;
(f) exemption from the securities transaction tax leviable under section 98 of the Finance (No. 2)
Act, 2004 (23 of 2004) in case the taxable securities transactions are entered into by a non-resident
through the International Financial Services Centre;
(g) exemption from the levy of taxes on the sale or purchase of goods other than newspapers
under the Central Sales Tax Act, 1956 (74 of 1956) if such goods are meant to carry on the authorised
operations by the Developer or entrepreneur.
(2) The Central Government may prescribe, the manner in which, and, the terms and conditions
subject to which, the exemptions, concessions, drawback or other benefits shall be granted to the
Developer or entrepreneur under sub-section (1).
27. Provisions of Income-tax Act, 1961 to apply with certain modification in relation to
Developers and entrepreneurs.—The provisions of the Income-tax Act, 1961 (43 of 1961), as in force
for the time being, shall apply to, or in relation to, the Developer or entrepreneur for carrying on the
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authorised operations in a Special Economic Zone or Unit subject to the modifications specified in the
Second Schedule.
28. Duration of goods or services in Special Economic Zones.—The Central Government may
prescribe the period during which any goods brought into, or services provided in, any Unit or Special
Economic Zone without payment of taxes, duties or cess shall remain or continue to be provided in such
Unit or Special Economic Zone.
29. Transfer of ownership and removal of goods.—The transfer of ownership in any goods brought
into, or produced or manufactured in, any Unit or Special Economic Zone or removal thereof from such
Unit or Zone shall be allowed, subject to such terms and conditions as the Central Government may
prescribe.
30. Domestic clearance by Units.—Subject to the conditions specified in the rules made by the
Central Government in this behalf,—
(a) any goods removed from a Special Economic Zone to the Domestic Tariff Area shall be
chargeable to duties of customs including anti-dumping, countervailing and safeguard duties under
the Customs Tariff Act, 1975 (51 of 1975), where applicable, as leviable on such goods when
imported; and
(b) the rate of duty and tariff valuation, if any, applicable to goods removed from a Special
Economic Zone shall be at the rate and tariff valuation in force as on the date of such removal, and
where such date is not ascertainable, on the date of payment of duty.