Chandigarh: Seeking all rice brands to be brought under the 5 per cent GST, the registered basmati brands are terming the levy as discriminatory in the current version. The companies claim that distributors and retailers will prefer unregistered brands to evade GST.
The opposition to GST is also sparked as top basmati brands like Dawaat and India Gate fall in exempted list while several small players have come under the ambit of the tax. Under GST rice brands that are registered under Mark Act 1999 have come under 5 per cent GST while unregistered brands have been extended exemption.
In a letter to the union finance minister Arun Jaitely, owners of Amritsar based leading rice brand 'Lal Qila' of Amar Singh Chawal Wala has said that the tax is contrary to 'One Nation One tax'. "It would promote registered companies to float unregistered companies to evade tax," Arvinder Pal Singh, director, Amar Singh Chawal Wala told ET. He maintained that no trader in India is ready to stock and sell registered branded rice products as they would like to be out of GST. Read More.
The opposition to GST is also sparked as top basmati brands like Dawaat and India Gate fall in exempted list while several small players have come under the ambit of the tax. Under GST rice brands that are registered under Mark Act 1999 have come under 5 per cent GST while unregistered brands have been extended exemption.
In a letter to the union finance minister Arun Jaitely, owners of Amritsar based leading rice brand 'Lal Qila' of Amar Singh Chawal Wala has said that the tax is contrary to 'One Nation One tax'. "It would promote registered companies to float unregistered companies to evade tax," Arvinder Pal Singh, director, Amar Singh Chawal Wala told ET. He maintained that no trader in India is ready to stock and sell registered branded rice products as they would like to be out of GST. Read More.