Cost Accountants are now Eligible to Issue Half-Yearly Certificate regarding utilization of Goods and Service
The Ministry of Commerce on 19th September 2018 notified the Special Economic Zones (Amendment) Rules, 2018 empowering the Chartered Accountants and the Cost Accountants to issue half-yearly certificate to the developers regarding utilization of goods and service under Rule 12(7). Earlier, a Chartered Engineer is required to certify such utilization under the SEZ Rules.
As per Rule 12(7), in order to import and procurement of goods, the Developer shall submit a half-yearly certificate for the period ending 31st March and 30th September of every financial year regarding utilization of goods from an independent Chartered Engineer.
Now, an amendment has been incorporated to rule 12 sub-rule 7, wherein words “goods from an Independent Chartered Engineer” are being substituted with the words “goods and services from an Independent Chartered Engineer or Independent Chartered Accountant or Cost Accountant as the case may be”. This will open up new avenues to the practicing Cost Accountants and Chartered Accountants.
In order to align the Special Economic Zone Rules, 2006 (SEZ Rules) with GST and to address specific issues of the industry and rationalise the provisions of SEZ Rules, a Committee was constituted in 2017 by Ministry of Commerce to review the SEZ Rules and make suitable recommendations. The amendments are aimed at fulfilling the objective of trade facilitation, ease of doing business and dispute redressal of the Government. Alignment of the regulations with GST, FTP and instructions issued periodically will hopefully provide procedural and compliance ease to SEZs.