The Indian state of Haryana’s government has reduced the Value Added Tax (VAT) on textiles, including woolen and home textiles, from 12.5 percent to 5 percent, the state's Chief Minister announced.
The VAT reduction would benefit the textile traders to the tune of Rs. 1.5 billion, according to the Chief Minister Bhupinder Singh Hooda, reports Times of India.
The Chief Minister was addressing the representatives of various trade unions in the state who had called on him under the banner of Haryana Pradesh Vayapar Mandal, in order to thank him for taking a number of relief measures for the traders in the region.
The Chief Minister also assured the traders that the state government would favorably consider their demand to give further relief in filling the VAT-D 3 Form, and informed that the government has already increased the limit from Rs. 10,000 to Rs. 25,000 for the form.
The products on which the VAT has been reduced include pillow covers sold with bed-sheets, comforters, duvet covers, cushion covers, bolster covers and ready to use curtains, as well as, bed covers, bed-spreads, towels, table cloths, curtains, napkins, shawls, saris and ladies suits on which any valued addition work like knitting, embroidery work has been done.