1. Haryana wants reduction in GST on plywood, spare parts

Haryana wants reduction in GST on plywood, spare parts

Haryana will press for reduction in the GST rate on plywood sector and spare parts used in farm equipment in the upcoming meeting of the GST council to be held in Guwahati on November 10.

By: | Chandigarh | Published: November 3, 2017 4:19 PM
GST, haryana, plywood, spare parts, gst regime, gst reform, gst reduction,  Haryana has been demanding reduction of tax rate on plywood from 28 per cent to 18 per cent and on spare parts from 18 per cent to 12 per cent. (Reuters)

Haryana will press for reduction in the GST rate on plywood sector and spare parts used in farm equipment in the upcoming meeting of the GST council to be held in Guwahati on November 10. Haryana has been demanding reduction of tax rate on plywood from 28 per cent to 18 per cent and on spare parts from 18 per cent to 12 per cent. “As far as Haryana is concerned, there are two issues pertaining to the GST which are pending in the GST council. We are demanding tax rate on plywood be reduced from 28 per cent to 18 per cent,” said state finance minister Capt Abhimanyu while talking to reporters here today. Notably, over 1,000 plywood units in Yamunanagar had gone on strike against the 28 per cent GST on plywood in the month of July this year. The plywood sector in Yamunanagar districts is known as country’s plywood manufacturing hub and is one of Asia’s largest timber markets. It alone contributes about 40 per cent of total plywood production in the country. “Apart from this, farm equipment attract tax rate of 12 per cent. But there are some spare parts which are used in them attract 18 per cent tax. This matter was referred to tax rate fitment committee. We want tax rate on spare parts which are exclusively used in farm equipment be reduced,” he said.

“I expect Haryana’s demands will be discussed in the upcoming meeting of the GST council (the highest decision- making body of the new regime),” the minister said. The 23rd meeting of the GST Council, chaired by Union Finance Minister Arun Jaitley and comprising representatives of all states, will be held in Guwahati on November 10.

  1. No Comments.

Go to Top