Page 222 - COMBINED QUESTIONS AND ANSWERS - EDITION 2019 - PART II_Neat

(iv) none of the above
A-864: i - a only
Q-865: The SEZ units with non-zero export turnover fall, the SEIS application to be filed before
(a) Regulating Authority in concerned jurisdiction
(b) Development Commissioner of SEZ

Which one of the above statement is correct?
(i) a only
(ii) b only
(iii) a and b
(iv) none of the above
A-865: ii - b only

Q-866: Write the obligations of units set up in Special Economic Zone
A-866: The units set up in an Special Economic Zone must earn Positive Net Foreign
Exchange by exporting the goods manufactured in the units or by providing services from
the units. The Positive Net Foreign Exchange means, the foreign exchange earned in FOB
terms must be more than the CIF value of the goods imported by remitting foreign exchange
and foreign exchange remitted by the units for any other purpose relating to the unit or
their products/services. This obligation must be fulfilled within a period of five years from
the date of commencement of production.

In the event of failure to achieve the prescribed foreign exchange earnings, the unit
is liable to penal action.

Q-867: The SEZ unit fails to bring back the goods removed temporarily for the purpose of display,
export promotion, exhibition job work, test, repair, refining, and calibration from DTA to SEZ
(a) The SEZ unit is liable to pay applicable duty on the temporarily removed the goods.
(b) The SEZ unit is not liable to pay applicable duty on the temporarily removed the
goods.
Which one of the above statement is correct?
(i) a only
(ii) b only
(iii) a and b
(iv) none of the above
A-867: ii - b only

Q-868: Explain Special Economic Zones
A-868: The concept of Special Economic Zones is to provide common infrastructural
facilities to set up the manufacturing units, Repair Centers, Service Providers and Traders.
The SEZs are mainly viewed as elements of the Government’s export promotion strategy.
But, in fact, successful functioning of the SEZs contributes a lot to the Indian economy in
many ways. The scope of SEZs is generation of additional economic activity, promotion of
export of goods and services, promotion of investment from domestic and foreign sources,
creation of employment opportunities, development of infrastructure facilities and
maintenance of sovereignty and integrity of India. SEZs are set up in specified areas.

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