India postpones plans to increase tax rates on textiles – finance minister

India postpones plans to increase tax rates on textiles - finance minister

The goods and services tax (GST) rate on textile items had been planned to be raised to 12% from 5% with effect from Jan. 1.

NEW DELHI, Dec 31 (Reuters) – Indian ministers on Friday deferred plans to hike tax rates on textile items, the federal finance minister said, after protests by industrial associations and some states.

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  • A group of ministers will consider new tax rates on textile and other items later, Nirmala Sitharaman, India’s federal finance minister, told reporters after the meeting of federal and state finance ministers.

Reporting by Manoj Kumar;
Editing by Alison Williams

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