Hill state tax holiday will ruin us: Ludhiana industrialists

LUDHIANA The extension of tax exemption to hilly states under the Goods and Services Tax( G ST) regimeby the Centre has caused discontent among Ludhianabased industrialists, who feel that their interests will now be badly hit.

Many industrial associations believe that the G ST exemption to hilly states till 2027 will ruin the industry in Punjab.

Ran jod hS ingh,v ice-president, Federation of Auto Parts Manufacturers Association said the tax holiday in hilly states was to end in 2018 and that could havegiven a boostto the industryin Punjab. “But the exemption of GST to these states till 2027 will adversely impact the Punjab industry.”

He added ,“Some areas of Punjab could also have been provided tax holiday, thus providing a much-needed support to units here .” The hosiery industry here also believes that the Centre has taken away the level playing field from it.

‘ITWILLRESULTIN INDUSTRY MIGRATION’

Vi nod Th a par, chairman of Knitwear Club, said Punjab’ s knitwear industry should also be given tax exemption.

“A level playing field has been denied to the industry in Punjab,

which is ailing and could now migrate to hilly states,” he said.

Badish Jindal, president, Federation of Punjab Small Scale Industries Associations, said if the Centre wants GST to be regime successful, it should give exemption to sick industries.