Parliament passes Special Economic Zones (Amendment) Bill, 2019

Parliament has passed Special Economic Zones (Amendment) Bill, 2019 to allow trusts to establish units in Special Economic Zone (SEZs). It was first legislation to be passed by newly-constituted 17th Lok Sabha. It replaces Special Economic Zone (Amendment) Ordinance 2019 promulgated March 2019 and amends SEZ Act 2005.

Salient features of Bill

It amends definition of “person” under Section 2(v) of the SEZ Act 2005 to include ‘trusts’. Apart from trusts, it also includes any entity that central government may notify from time to time in the definition of ‘person’.

Section 3(2) of SEZ Act, 2005

The proposal for establishment of SEZ can be made by any “person”. Currently,  person under Section 2(v) of the SEZ Act 2005 is defined as individual, whether resident in India or outside India, Hindu undivided family, co-operative society, company (whether incorporated in India or outside India), proprietary, firm, concern, or association of persons or body of individuals, whether incorporated or not, local authority and any agency, office or branch owned or controlled by such individual.

Month: Current Affairs - June, 2019