Jharkhand shops shut down over VAT
By IANSFriday, February 4, 2011
RANCHI - Shops were closed in Jharkhand Friday following a daylong shutdown called by traders to protest the imposition of value added tax (VAT) on textiles and hiking of taxes on motor parts and others.
Federation of Jharkhand Chamber of Commerce and Industries (FJCCI) called a dawn-to-dusk shutdown demanding withdrawal of VAT on textiles.
The state government last year imposed four percent VAT on blankets, towels, bed sheets and other textiles. It had also clamped eight percent VAT on plywood and motor parts.
All shops remained closed in capital Ranchi, but schools and offices were open.
“The common man suffers most from the VAT on textiles. Many states don’t have it. The tax will also affect traders’ business,” Pradeep Sharma, FJCCI president, told reporters here.
The shutdown has been supported by the Congress and Jharkhand Vikas Morcha-Prajatantrik.
Jharkhand Motor parts Association (JMPA) also joined FJCCI in the strike. It has demanded rationalisation of the structure on motor parts.
The shutdown is also supported by the Jharkhand Small Industries Association (JSIA).
