Govt plans to remove minimum alternate tax on SEZs, boost exports

Govt also considering reducing duties on domestic sales

To raise investments and boost exports from the Special Economic Zones (SEZs) across the country, the government is considering removing minimum alternate tax (MAT), reduction of duties on domestic sales and allowing job work.

At an inter-ministerial meeting last month, the Piyush Goyal-led commerce department has asked the revenue department to consider whether MAT can be removed from the export turnover from SEZs, sources said. 

The government last month cut MAT to 15 per cent from 18.5 per cent, while also slashing the corporation tax rate to 22 per cent from 30 per cent. However, the Central Board of Direct