Karnataka garment traders meet CM Yediyurappa with many demands for State budget
BENGALURU: The need to bring in Petrol and Diesel under GST, scrapping of professional tax and abolition of trade licence by the BBMP are among the demands put forth by the Karnataka Hosiery and Garment Traders Association for inclusion in the upcoming State budget.
The Association representatives on Monday submitted a memorandum to Chief Minister B S Yediyurappa. Stating that the Association faced many roadblocks in its development, it called upon the CM to take steps to remove them in order to boost the industry.
"The prices of petrol and diesel are rising constantly and the VAT charged by the State government is increasing costs on all products. This increases costs of transportation and raw material leading to higher cost in our sector. We, therefore, request the government to push the matter in the GST Council for its inclusion in GST," the memo said. It added that as an alternative, the State VAT on petrol and diesel could be reduced.
The lack of adequate infrastructure in an important business hub like Chickpet was keeping customers away from it, it added urging for up-gradation of facilities here.
A high GST rate of 18% was being paid presently and the professional tax was causing an additional burden on the small traders, the memo said urging for it to be scrapped. Alternatively, a two-year relief could be provided to small traders with a turnover of upto Rs 5 crore.
The textile and readymade garment industry is paying two taxation slabs of 5% and 12% and a single rate of 5% was necessary, the memo said.