Is
the registration under the STP/EHTP Scheme mandatory?
A:
NO.
But in view of the obvious benefits available under the
Scheme registration is recommended.
Q:
What
is STP / EHTP Scheme meant for?
A:
100% Export
Oriented Scheme for development of Software/Electronic
Hardware for
Exports
Q:
Activities
covered under the scheme
A:
Development of IT Software/ Electronic Hardware for Exports
Rendering
IT enabled services for software exports
Execution
of Onsite Consultancy projects at customer site abroad
Q:
Scope
of Onsite Consultancy
A:
Export of professional
services by the 100% EoUs under STP scheme is permitted
and the service providers are eligible for the facilities
available under the scheme provided the payment for the
services rendered is received by the unit in the free
foreign exchange.
Q:
Whether
an undertaking operate as both STP & Domestic Unit
A:
YES If an industrial unit is operating as both domestic
unit and as well as an STP unit, it shall have two distinct
identities with separate accounts. But all the transactions
of the Imports and Exports or supplies effected relating
to the 100% EoU activity of the STP unit shall be kept
separate from those relating to the other domestic unit
of the company.
Q:
Whether
DTA unit can be converted into STP Unit
A:
YES
Conversion of an existing Domestic Tariff Area (DTA) unit
into STP Unit is permissible. But no concession in duties
and taxes would be available under the scheme for the
plant, machinery and equipment already installed.
(Para 6.37.1 of Hand Book
of Procedures Vol. I and Para 6.19 (b) of Foreign Trade
Policy)
Q:
Can
an EoU get converted as STP Unit
A:
YES
Existing units under EoU desiring conversion into STP
unit may apply to Director, STPI through the Development
Commissioner, EPZ concerned
(Para 6.37.2 of Hand Book
of Procedures Vol. I and Para 6.19 (b) of Foreign Trade
Policy)
Q:
Can
2 or more STP units get merged
A:
YES
Merger of two or more EoU/EPZ units into one unit is
permissible. provided the units fall within the
jurisdiction of the Director, STPI and the same
Commissioner of Central Excise & Customs subject to
the conditions thgat the activities are covered under
the provision of broad banding (Para 6.19(b) of Foreign Trade Policy &
Para 6.37.2 of Hand Book
of Procedures Vol. I )
Q:
Can
the unit be setup anywhere in India
A:
YES
With the approval of the Jurisdictional Director, STPI
Q:
Can
the unit operate in multiple locations
A:
YES
Within the jurisdictional area of the Director, STPI
Q:
Can
an undertaking establish more than one STP Unit
A:
YES
Q:
What
are the benefits available under STP/EHTP Scheme
Central Government Undertaking
State Government Undertaking
State Industrial Development Investment Corporation
Cooperative Undertaking
Joint Sector Undertaking Joint Sector Undertaking
Assisted Sector Undertaking
Private Sector Undertaking
Individual Promoter/Partnership
Conversion from DTA Unit to STP
Conversion from EoU to STP
Development of IT Software/ Electronic Hardware for Exports
