GST Council postpones to implement GST hike on the textile sector as states oppose
Merchants demand withdrawal of GST on textiles
The decision of the GST Council to implement the increased tax on the textile industry from January has been postponed. The decision to increase the GST from 5 percent to 12 percent in the textile sector has been postponed. The decision was taken unanimously at the GST Council meeting in Delhi today.
The decision of the GST Council to implement the increased tax on the textile industry from January has been postponed. The decision to increase the GST from 5 percent to 12 percent in the textile sector has been postponed. The decision was taken unanimously at the GST Council meeting in Delhi today. Finance Minister Nirmala Sitharaman will reveal the details soon. Several states, including Telangana, have strongly opposed the 5 percent to 12 percent hike. With the council's latest decision, the hike decision, which is due to take effect from tomorrow, has been postponed.
AP Finance Minister Buggana Rajendranath Reddy said that they also opposed the decision taken by the Centre. He said that there were a large number of handloom workers in their state and the GST decision would have an impact on them. Hence, many states, including the AP, have opposed the proposal to impose a 12 percent GST on handloom textiles. That is why the GST Council has put aside proposals.
"There is a use of cotton textiles in our state. We took this decision after CM Jagan asked us to support handloom workers," he said.
He said that there was a need to support the handloom sector and opined that it was decided to maintain the existing 5% GST on handloom textiles. AP Finance Minister Buggana Rajendranath Reddy said they will address the pending issues of the Partition Act at the Home Secretary's meeting on January 12. He said the Union Home Secretary and the Prime Minister's Office would talk to the officials on the pending issues of the Bifurcation Act at the Southern States Council meeting. He said he had asked Union Minister Nirmala Sitharaman to provide funds for the Duggarajapatnam port, Kadapa steel plant, and Polavaram project in the coming budget.
He also demanded concessions for setting up industries in areas like North Coastal Andhra and Rayalaseema, KBK package for backward areas, and allocation of funds for pending railway projects along with the construction of Nadkudi-Srikalahasti, Kadapa-Bangalore railway, Kotipalli, and Rayadurg lines.
