The Government Of South India: The Export Tax Rebate Of Textile Industry Will Be Raised

T Rajkumar, chairman of the South India Textile Mills Association (SIMA), welcomed the decision of the export tax rebate Committee. The government has announced improvements in textiles and Clothing products The tax rebate rate and the value ceiling.

The rebate Committee has been recommended to improve the applicability of most textiles and clothing products from November 22, 2014 onwards. drawback This proposal was made after the feedback of various textile export promotion committees and considering the current tax burden.

T Rajkumar thanked the Committee for giving full consideration to the proposal put forward by SIMA on the tax rate of cotton yarn, spandex roving yarn and fabric, and welcomed the amendment of the individual rates of 50 yarn and above count yarn.

Earlier in the new tax rate, cotton yarn was the only condition that met the maximum value of 13 rupees per kilogram, and the individual tax rate was 3%. It also retained the duty rate of less than 50, 50 and more count yarn. The tax rate had been revised to 2.8%, and the value limit was 18 rupees per kilogram.

T Rajkumar believes that although some counts of yarn, such as 50 and 60, may be affected by the modified tax rate, the fine count yarn, such as 80 or more, will benefit. Similarly, at the maximum value of 16 rupees per kilogram of spandex yarns, an individual duty rate of 4.7% will help exporters to increase their competitive edge.

The stable export growth of the spandex yarns and the revision of the tax rate will contribute to the increase in exports. He said.

The tax rebate rate for cotton cloth has been reduced from 4.4% to 4.3%, but the value ceiling has increased from 24.50 rupees per kilogram to 37 rupees. In terms of dyed fabrics, the tax rebate rate has risen from 4.9% to 5%, and the value ceiling has been raised from 31.50 rupees per kilogram to 50 rupees.

SIMA chairman has said, though Knitted fabric Grey fabric retained the same rebate rate, and the tax rebate rate of dyed knitted fabrics was revised from 4.9% to 5.1%. The marginal increase in the value limit increased from 31.50 rupees per kilogram to 33 rupees.

The tax rebate rate for cotton garments has dropped slightly from 7.6% to 7.5%, which has greatly increased the value ceiling from 56.70 rupees per kilogram to 75 rupees. The tax rebate rate and the value ceiling of the blended garments increased from 8.9% to 9.5%, to 58.10 rupees per kg to 90 rupees.

The tax rebate rate for artificial wear has also decreased from 10.2% to 9.8%, but the value ceiling has increased from 59.50 rupees per kilogram to 93 rupees per kilogram.

SIMA chairman added that raising the value ceiling will encourage the current increase in value when we need to promote exports. international market And narrowing the gap between the balance of payments.