Difference between SEZ and STPI (SEZ vs STPI )

“Difference between SEZ & STPI “  

SEZ - special economic zone
STPI - software technology park of India

SOFTWARE TECHNOLOGY PARK (STP) ONLY CONCENTRATES ON SOFTWARE UNITS AND DEV. OF SUCH UNITS IN SOFTWARE IND.
SPECIAL ECONOMIC ZONE IS NOT RESTRICTED TO ANY PARTICULAR IND. OR UNIT .

 Special Economic Zone: SEZ is a geographical region that has economic laws that are more liberal than a country's typical economic laws..
STP is the process for developing marketing strategy through segmenting the market, targeting a segment and then positioning the product or brand.

Policy and Benefits
Software Technology Park [STP] Scheme is a 100% export oriented scheme for undertaking software development for export using data communication links or in the form of physical media including export of professional services.

The scheme was set up to contribute to the prosperity of the national economy through promotion of exports from the Software & services Industry by facilitating all the statutory services of the Govt., strengthening the Communication Infrastructure

The benefits under the STPI

• Approvals are given under single window clearance mechanism.
• An STP project may be set up anywhere in India.
• Jurisdictional Directors have the powers to approve import of capital goods (net of taxes) not more than US$ 20 million.
• 100% foreign equity is permitted.
• All the imports of Hardware & Software in the STP units are completely duty free, import of second hand capital goods also permitted.
• Re-Export of capital goods are permitted.
• Simplified Minimum Export Performance norms i.e., Net Foreign Exchange Earnings to be positive.
• Domestic purchases by STP unit are eligible for the benefit of deemed exports to the equipment suppliers.
• Use of computer system for commercial training purpose is permissible subject to the condition that no computer terminals are installed outside the STP premises.
• The sales in the Domestic Tariff Area [DTA] shall be permissible up to 50% of the export in value terms.
• The capital goods purchased from the Domestic Tariff Area [DTA] are entitled for the benefits like levy of Excise Duty & Reimbursement of Central Sales Tax [CST].
• Capital invested by Foreign Entrepreneurs Know - How Fees, Royalty, Dividend etc., can freely repatriate after payment of Income Taxes due on them if any.

      For more details visit
      https://www.stpi.in/
      sezindia.nic.in/