ministry of commerce and industry

On 7-11-2023, the Ministry of Commerce and Industry notified the Special Economic Zones (Fourth Amendment) Rules, 2023 to amend the Special Economic Zones Rules, 2006. The provisions came into force on 7-11-2023.

Key Points:

Rule 43-A relating to “Hybrid working” has been revised.

  1. The following categories of employees can be permitted by their units to work from any place outside the Special Economic Zone until 31-12-2024:

    • employees of Information Technology Units and Information Technology enabled services;

    • employees, who are temporarily incapacitated;

    • employees, who are travelling;

    • employees, who are working offsite.

  2. In the case of hybrid working granted to any employee, the same has to be intimated to the Development Commissioner by the Unit on or before the date on which the facility has been permitted.

  3. The hybrid work facility will be admissible if the Unit continues to operate from the premises as per their letter of approval.

  4. The Unit will have to ensure export revenue of the resultant products or services to be accounted for by the Unit to which the employee is permitted for hybrid work.

  5. The Unit may provide to an employee duty-free goods, including laptop, desktop, and other electronic equipment needed by the employee for hybrid work and the same will be allowed to be taken outside the Special Economic Zone without payment of duty or integrated goods and services tax on temporary basis.

Note: “Hybrid working” refers to a flexible work model whereby an employer may permit its employees to work from the office or from any location outside the employer’s office from time to time.

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