• Notification Date: 14-03-2022
• Notification No: N/A

Trade Bodies Urge FM to Not Hike GST

Finance Minister Nirmala Sitharaman has proposed to enhance the rate of Goods and Services Tax (GST). The trade bodies are reacting massively to this decision. They have appealed to the Finance Minister to refrain from hiking the GST rates. The traders urge that this decision would make the situation even more difficult for the genuine and compliant taxpaying firms as they are already struggling to revive their original position after the Covid-19 pandemic.

Several representations have been made by the Agrofood Chamber of Commerce and Industry and the Tamil Nadu Foodgrains Merchants Association. They stated that the trade and industry are very worried about the scaling up of the GST rates. The President of Agrofood Chamber, S Rethinavelu stated that this decision is no less than a rude shock for the micro and small enterprises of the industry. If the rates of GST are enhanced, then the prices of almost all the commodities will also rise accordingly.

The President of the foodgrains association, S P Jeyapragasam stated that the suggestion of the stakeholders is being neglected for the last two years. They have pointed out in the past that there are several commodities that are charged with a higher rate of GST but it has not been considered by the council. As a result, many of these traders and manufacturers have been compelled to dissolve their businesses.