More than 100 power loom weavers in Tamil Nadu, mainly in Erode and nearby areas, have demanded payment of GST refunds for the tax paid for nearly 13 months in 2017-2018. He explained that when GST was introduced in July 1, 2017, manmade fibre (MMF) and MMF yarn attracted 18 % duty and MMF fabric was levied 5 % duty. The weavers had paid the GST assuming that they would get refund of the duty paid (inverted duty structure). If the government refunds the tax paid during the 13 months in 2017-2018, the weavers will get relief. Across the country, the government may have to pay ₹ 1,000 crores as refund to the MMF sector weavers, he said.

Source: The Hindu January 04, 2024 16:55 UTC