Service to SEZ - Not Eligible for SEIS Benefits - DGFT
DOUBTS were raised with the DGFT as to whether or not supply of a 'service' by unit(s) located in DTA to SEZ unit(s) is eligible for rewards under SEIS. (Services Exports from India Scheme)
DGFT notes that as per Para 3.08 of the FTP 2015-2020, "Only Services rendered in the manner as per Para 9.51(i) and Para 9.51(ii) of this policy shall be eligible" and as per Para 9.51(i), "Service Provider" means a person providing:(i) Supply of a 'service' from India to any other country; (Mode1- Cross border trade).
So, DGFT clarifies that 'supply' of a service to any other country only is eligible for SEIS benefits. Since SEZ is 'Indian Territory' supply of a service to SEZs is not eligible for rewards under SEIS. Supply of a 'service' by units located in DTA to SEZ units was and shall continue to remain ineligible for rewards under SEIS.
DGFT Policy Circular No.01/2015-20, Dated: June 11, 2015