Noida: Entrepreneurs’ body demands lowering of GST on household appliances
There are over 8,000 industrial units engaged in manufacture of electrical gadgets, electronic goods, engineering goods, electroplating units and corrugating units in Noida.noida Updated: Jul 10, 2017 23:38 IST
A delegation of Noida Entrepreneurs Association (NEA) on Monday met UP finance minister Santosh Kumar Gangwar and demanding lowering of Goods and
Services Tax (GST) on home appliances.
There are over 8,000 industrial units engaged in manufacture of electrical gadgets, electronic goods, engineering goods, electroplating units and corrugating units in Noida.
A team of NEA members led by its president, Vipin Malhan, called on Gangwar and urged him to reduce GST on fans, electric press, mixer, juicer, toaster, etc., as these gadgets are used by “poor” consumers.
Malhan said all these goods are used by people belonging to economically weaker section and the GST of 28%will be a big blow to them. “Earlier, a consumer had to pay VAT at the rate of 5% on these goods. But now they will have to bear an additional burden of 23% under GST. A manufacturer will pass on the burden to the consumer, which will not be justifiable,” he said.
Malhan said electrical cable is also used by the poorest of the poor and the GST of 28% should be reduced to 18% to give relief to the consumers.
There are over 500 units in Noida that manufacturer home appliances and electrical cables.
Echoing similar views, NEA executive member LB Singh said the GST on raw material used in the manufacture of fans, electric iron, mixers, toasters, immersion rods, etc., be kept between 12%to 18%in the interest of the industries and consumers.
Malhan demanded that the GST on lease rent payable to the Noida authority be brought down from 18% to 5%.
“Allottees have to pay lease rent at the rate of 2.5% of the allotment cost of the plot to the Noida authority annually. Earlier, there was no tax payable on the lease rent,” he said.
According to Malhan, the minister assured them of taking up the issues at the GST council meeting to be held after four days.
First Published: Jul 10, 2017 23:38 IST