“Consequently, the existing GST rates in the textile sector would continue beyond 1st January, 2022,” the Finance Ministry said.
(Photo: iStock)
In a relief for the textile sector, the GST Council, which met here today under the chairmanship of Finance Minister Nirmala Sitharaman, deferred the hike in GST on textiles from 5 per cent to 12 per cent.
“Consequently, the existing GST rates in the textile sector would continue beyond 1st January, 2022,” the Finance Ministry said.
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The Council, it is learnt, will take a review of the deferment in February.
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Yesterday, several states flagged higher tax rates on textile products from January 1 and demanded that the rate hike be put on hold. In the pre-budget meeting chaired by Sitharaman, states like Gujarat, West Bengal, Delhi, Rajasthan and Tamil Nadu, said that they were not in favour of a hike in GST.
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