Clash on increased GST continues!
The industry and its supporters from different political parties have been coming forward everyday and urging the Government to rollback GST hike from 12 to 5 per cent.
Now,Amar Patnaik, MP, Rajya Sabha and a few other MP have met Finance Minister Nirmala Sitharaman and demanded for the same.
The MP has highlighted that the handloom and crafts sector is under severe distress as the average handloom household income is only Rs. 3,042 per month.
The global pandemic has only exacerbated matters as many weavers have lost their livelihood due to the already existing high cost of production.
On the other hand, it is being reported that despite the agitation across the country by the industry stakeholders, the Government is unlikely to defer the implementation of higher GST on certain textile products.
A Government official said, “This decision (GST increase) was taken by the Council after intense deliberations. We will place the representations to the Council in the next meeting.”
It has been said that the Ministry of Textiles had not taken up the issue with the Finance Ministry or the GST Council Secretariat yet.
In another development, the Government is empowered to send its recovery officials to anyone’s premises to collect GST without notice, if his/her tax liability shown in the requisite form is less than what invoices, mentioned in the outward supply form, should draw.
According to a gazette notification, the relevant provision in the Finance Act 2021 will come into effect from 1 January 2022.
