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Data Service procurement Form (DSPF) – SEZ Compliance for Service exemptions

Data Service procurement Form (DSPF)

Data Service Procurement Form (DSPF) – SEZ Compliance for Service Exemptions

The SEZ web portal created the DSPF to address the issue of obtaining an endorsement from an authorized or specified authority for services received by an SEZ unit or developer.

SEZ Units, Developers, and Co-developers will be able to submit service invoices for DTA services used in the previous month. During a month, details of various invoices generated by multiple distinct DTA vendors can be entered in a single transaction and sent to DC Office for assessment and approval.

This article describes the DTA service procurement Form (DSPF) Online functionality, Applicability of DSPF, Periodicity of DSPF, Key features of this DSPF Form, and Approval of DSPF.

DTA Procurements

The following are how an SEZ Unit can procure items from a Domestic Tariff Area supplier :

  • You purchase based on an invoice or transportation documents without taking advantage of any exemptions, benefits, or concessions.
  • Procurement is based on an application to remove excisable goods for export by Air, Sea, Post, or Land (ARE-1) when a central excise duty exemption has been obtained but no export entitlements have been received.
  • Procurement under an export entitlement claim based on a Bill of Export (with or without ARE-1).

Data Service Procurement Form (DSPF)

The “DTA Services Procurement Form (DSPF)” has been added to the SEZ Online System to ease the recording, review, and approval of all Service Invoices for Services obtained by SEZ Units / Developers from DTA Suppliers as “Zero Rated Supply for Authorized Operations.”

The Online functionality of the DSPF

The SEZ web portal created the DSPF to address the issue of obtaining an endorsement from an authorized or specified authority for services received by an SEZ unit or developer.

The “DTA Service’s Procurement Form (DSPF)” is a new module for recording and submitting details of all invoices about services obtained by SEZ Units / Developers from DTA Suppliers as “Zero Rated Supply for Authorised Operations.”

SEZ Units, Developers, and Co-developers will be able to submit service invoices for DTA services used in the previous month. During a month, details of various invoices generated by multiple distinct DTA vendors can be entered in a single transaction and sent to DC Office for assessment and approval.

Prescribed Authority for Approving DSPF

SEZ Online system issued a notice on the 5th of September 2019 directing the deployment of the DSPF above form, stating that “Details of all service procurements online through this form” may be adopted as an obligatory process for service procurement beginning in October 2019.

The notice further detailed the approval hierarchy, stating that DSPF can be approved by an Authorized officer or validated by an Authorized officer before being sent to a Specified officer for approval.

Periodicity of DSPF

Neither the SEZ Act nor the SEZ rules specify the due date or frequency with which the SEZ unit must submit the DSPF. SEZ units, on the other hand, can use the Macro to file DSPF every month.

Significant features of this DSPF form:

  • Multiple invoices produced by multiple/different DTA vendors over a month can be uploaded at once and sent to DC Office for assessment and approval.
  • The entire process of uploading DSPF, approval/endorsement by SEZ officers, and the acknowledgment to DTA that the services supplied by SEZ unit are approved is completed online and delivered to the DTA service provider’s registered email address.
  • The essential details must be filled out on an Excel template, which must be attached to the DSPF form. Important mandatory information is shown below for your convenience:
  • Invoice Specifications (Type/Date/Number/Amount)
  • The SAC (Service Accounting Code) must be chosen from the dropdown menu, and the service description will appear immediately.
  • DTA Supplier Email-ID
  • SEZ must specify if the supply is subject to a bond/Letter of Undertaking (LUT) or is subject to IGST payment.
  • Without a payment option, the Bond/ LUT details must be recorded.
  • The dropdown menu must be picked from the approved list of services (66 approved lists). Management Consultancy Services that have recently been approved are not featured in the dropdown menu.
  • If UAC has expressly accepted service as a good service for exemption, the service description can also be specified under the heading “Any additional services as approved by DC offices.”

Approval of DSPF

  • After submitting the DSPF, the Authorized Officer (AO) will review and approve it. The AO can support the form or refer it to a specific officer (SO) for evaluation and approval.
  • When the DC office accepts the transaction, an email will be issued to the entity approver. DTA Supplier will also receive an email. DTA will get an email confirming its purchased services and billing details for DTA Supplier.

Import Export Code (IEC)

The Import Export Code is a primary document necessary for commencing Import-export activities. The IE code is to be obtained for exporting or importing any goods or services.IEC has numerous benefits for the growth of the business. Indeed, you cannot ignore the necessity of IE code registration, as it is mandatory. You can apply for an Import Export code through IndiaFilings and obtain it within 6 to 7 days.