The Delhi Government supports traders’ protest against increase in goods and services tax on textile, and the Aam Aadmi Party (AAP) Government will raise the issue in GST council meeting, Deputy Chief Minister Manish Sisodia said on Thursday.
Several markets dealing with garment business remained shut in national capital on Thursday to oppose the central government's move to hike GST rates on textile from existing 5 per cent to 12 per cent from January 1.
"The protest by textile traders against hike in GST from 5 per cent to 12 per cent is justified. The AAP and Delhi government under leadership of Arvind Kejriwal have been in favour of keeping the tax rates low. I will demand keeping tax on textile low in the GST Council meeting tomorrow," tweeted Sisodia who is also minister incharge of Delhi government's Finance department.
The Chamber of Trade and Industry (CTI) demanding withdrawal of the hike, called closure of textile and garment markets in the city in protest of the GST hike
It is noteworthy that the GST Council had made certain recommendations for revision in GST rate, mostly to correct inverted duty structure and other anomalies. This includes revision of rates in the textiles sector which shall come into effect from the 1st January, 2022. Currently, a 5% tax on sales up to Rs 1,000 per piece is charged.
