Indian trade group Confederation of All India Traders (CAIT) called upon its government to cut goods and services taxes (GST) on a variety of products produced domestically last week, including aluminium utensils and auto parts.
The Confederation also counseled a review of other items that were assigned other tax treatment by the country’s GST regime due to issues that some items tend to overlap.
“Various items like auto parts and aluminium utensils are not of luxurious nature should be taken out from 28 percent tax slab and may be put under lower tax slab,” explained CAIT in a statement released to domestic media.
CAIT previously submitted a white paper on the issue to Finance Minister Nirmala Sitharaman in which it suggested cutting tax rates for a wide array of products, including ice cream, paint, health drinks, hardware, cellphone covers, two-wheeled vehicles, and preowned automobiles.
“The minister assured the CAIT delegation that she will look in to the issues,” the statement said.
India’s GST has long been a point of contention with the country’s downstream aluminium sector. Last year a different trade group pled for relief from GSTs on downstream products due to the expected negative impact it would have upon micro, small- and medium-sized enterprises (MSMEs) engaged in aluminium recycling.