ATMA urges withdrawal of hike in entry tax on textiles

15 Oct '09

2 min read

From September 14, 2009, entry tax on textiles and all the allied products in Assam has been increased to 4 percent, which was 1 percent, earlier. The Assam Textile Merchants' Association (ATMA) has urged the state Government to remove this hike in entry tax.

Cloth and textiles in all the adjacent states of the north eastern region and West Bengal are free from entry tax. So, if the entry tax on Assamese textiles is not removed, the textile business of the state will experience negative effects and will shift to the states free from entry tax, said the PRO, ATMA, Mr. Nirmal Samsukha, in a press conference.

Any kind of hike in the entry tax will prove to be detrimental for the lakhs of people directly or indirectly dependent on textile business which might worsen state's unemployment situation, added Mr. Samsukha.

This tax hike on fabrics will impact local people also, who are already bearing the damaging effects of inflation, as their expenses on basic needs will go up due to price hike in all kinds of fabrics and clothing.

A memorandum requesting the withdrawal of this tax has been submitted to the Chief Minister and the Commissioner of Taxes by a team of ATMA. Another delegation of the Association had also met the government authorities earlier, with the same request, when one percent tax was imposed on textiles.

Fibre2fashion News Desk - India

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