Saturday, January 30, 2010

Bring down VAT on essential goods: CPI(M)


HYDERABAD: The State Committee of the CPI(M) has demanded that the government immediately withdraw orders enhancing the Value Added Tax rate on essential commodities and bring it on a par with that of neighbouring States.
Representation to CS
CPI(M) representatives, P.Madhu, MP, State committee members T.Sagar and P.V.Srinivas submitted a representation to the Chief Secretary S.V.Prasad here on Friday showing the high VAT rates prevailing in the State compared to other States.
People already burdened by the rising prices were severely impacted by the hike in VAT on food and other items. They demanded that essential commodities be totally exempted from VAT in the State.
Steep hike
Mr. Madhu later told presspersons that because of steep hike in VAT to 14.5 per cent, the prices of packed pulses, vegetables, tamarind, red chillis, branded bread were highest in the State, while in Tamil Nadu, Karnataka, Maharashtra even packed commodities were charged only 4 per cent VAT. Similarly, vegetables, milk, meat, fish, fruits, oils, jaggery, salt were exempted from VAT in Tamil Nadu and Maharashtra and so was the case with rice in West Bengal. But in AP, they were brought under four per cent slab. In Andhra Pradesh only 118 articles were under four per cent VAT category and the rest of the commodities used by a majority of people were placed under 14.5 per cent slab.
(Courtesy : The Hindu)

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