(PTI)
Protesting against the move to levy 28 per cent tax on furnitures under the upcoming GST regime, manufacturers in the national capital today began a three-day shutdown of shops. The Delhi Furniture Federation (DFF), which is organising the protest, said it was grossly unfair of the government to tax furnitures that are used by common man in hospitals, offices, schools and homes at 28 per cent while a luxury item like diamond is levied just 3 per cent tax.
“We have made representations to the government for a revision but they denied any relief saying you used to evade taxes earlier and will continue doing so even after the GST,” DFF President Ratinder Pal Singh Bhatia told reporters here.
At present, tax incidence on furniture goods is at around 12 per cent. He further said the problem of domestic furniture manufacturers have been compounded by the government’s decision to lower import duty and making imports cheaper. Moreover, Bhatia said: “Earlier, their was an exemption of excise duty for those manufacturers whose total products were valued only up to Rs 1.5 crore but now they have to pay the highest tax rate.”
