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EOU

Nehal A.Sejpal (Service) (61 Points)

26 December 2008

Can any body tell me the procedure to convert existing trading activities in to EOU units?

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5 Replies

R.Suresh (Sr. Executive) (394 Points)
Replied 31 December 2008

Tell me your existing trading activities, becuase procedure is different for all.

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Nehal A.Sejpal (Service) (61 Points)
Replied 01 January 2009

Originally posted by :Nehal A.Sejpal
"	Can any body tell me the procedure to convert existing trading activities in to EOU units?	"

I hve 3 co's. Co. A, Co.B & Co.C. Co. A is mine owner, Co. B is Contractor & Co. C is Exporter. In co.A ,Mr.A is 100% owner, In Co. B Mr.B is 100% owner & in Co. C Mr.A & Mr. B is 50% - 50% partner. Co is dealing in Iron Ore. Now give me advise wether Co. C is able to register as 10% EOU as it is purchase from Co.A.

R.Suresh (Sr. Executive) (394 Points)
Replied 02 January 2009

You going to take a IEC code

How to take Import Export Code to follow the link

URL https://www.ieready.com/eou.html

Its help you and any clarification revert back.

Rajesh Kumar (Advocate- Tax) (7806 Points)
Replied 06 January 2009

Any company can be converted to 100% EOU. However, it has to be examined as what is the benefit which will accrue to a unit after converting to 100% EOU.

100% EOU scheme is useful to the units having major export market, and in need of imported raw material and capital goods. Company C as exporter can become a 100% EOU, but it does not need to import anything (i m presuming mines are in india). The only benefit it will get is income tax exemption for some time- till 2010.