In a new ‘industry friendly’ move, the Indian government has decided that any income arising out of ‘mere display of uncut diamond (without sorting or sale) inside a Special Notified Zone carried out on or after April 1, 2015, shall not be taxable under the provisions of the Income-Tax Act, 1961,’ as per the Central Board of Direct Taxes ( CBDT), reports say.

The intent is to attract more global diamond mining majors into the country. The Bharat Diamond Bourse in Mumbai has an SNZ. The government intends to pass a legislative amendment to this effect in the Finance Bill 2016, reports say.