Minimum Alternate Tax (or MAT) will apply for SEZ developers as well. Not just the real estate players, even companies like Opto Circuits had gone into developing SEZs. The funda was that if you developed an SEZ, or if you were a unit in an SEZ, you paid no MAT at all, regardless of how much profit you had made. This is a useful way to move money around and make it non-taxable.
Developers in SEZs will now pay MAT as well.
Also such SEZ developers paid no dividend distribution tax (DDT); but from 1 June 2011, they will have to pay 15% DDT.
This affects way too many stocks, if you ask me. I need to find out how to make a list of them without killing myself.
