In a letter sent to finance minister Arun Jaitley, FIEO has said that job work in cotton, MMF and blend need to be taxed at 5 per cent, uniformly for made-ups, garments, fabrics and yarn, irrespective of fibre base and whether woven or knitted.
Apparel manufacturing industry is dependent upon job work and the segment should be included in the 5 per cent slab of the upcoming tax regime, said media reports quoting the association.
The GST Council is expected to come to a conclusion regarding the demands of various textile associations of classifying job work for different segments under the 5 per cent slab, during the meeting to be held on June 18. (KD)
Fibre2Fashion News Desk – India