CST not brought down to 2%, complains Knitwear Club

Knitwear Club and Punjab Tax Bar Association members have expressed resentment that central sales tax (CST) has not been brought down from 3% to 2%.

As per the association, the CST should have been brought down on April 1 by the central government. Knitwear Club President Vinod Thaper also wrote to Chief Minister Punjab Parkash Singh Badal in this regard.

Ashok Juneja, President of Punjab Tax Bar Association, added that while introducing VAT in India, it was promised that CST will be reduced by 1% every year, and this year it was to be reduced to 2% . He added that the Central government should immediately notify for charging value added tax (VAT) at the rate of 2%, otherwise it will be difficult to get refund once it is charged to the purchasers.

Source : Ludhiana Newsline - Ludhiana, India, dated 14/04/2008