The Department for Promotion of Industry and Internal Trade (DPIIT) has sent proposals for reducing goods and services tax (GST) rates on certain segments of the leather sector, Rajeev Singh Thakur, additional secretary at DPIIT, said on Tuesday.
“The DPIIT is aware of GST problems in the leather sector, and has sent proposals in the past for rate reduction to the Finance Ministry. However, the rates on leather goods are subject to approval by the GST Council,” he added.
The leather industry has been demanding that GST be reduced to 5 per cent from the current rate of 12 per cent. Leather products exporters have also expressed resentment over the hike in GST from 5 per cent to 12 per cent on finished leather.
Read more at: Business Standard
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