Rice federation tells T.N. Chief Minister to take up waiver for rice with GST Council
The Federation of Tamil Nadu Rice Mill Owners has requested the state government to advocate for a GST waiver on rice at the upcoming GST Council meeting. Millers argue that the tax on small-quantity rice packs disproportionately affects low-income consumers.
Why it matters
The request highlights the tension between tax policy on essential commodities and the economic burden on vulnerable populations.
Paddy and rice millers have urged the Tamil Nadu government, under Chief Minister C. Joseph Vijay, to take up the issue of Goods and Services Tax (GST) waiver for rice, an essential commodity, with the Centre and the GST Council.
The 57 th GST Council is likely to be convened in a few weeks, and States can raise their concerns there, said D. Thulasingam, president, Federation of Tamil Nadu Rice Mill Owners and Paddy Rice Federation.
Poor people, who buy a few kilograms of rice at a time, are being hit by this unnecessary tax. Rice packs weighing below 26 kg are now taxed at 5% GST, he said.
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