GST and Textile

Abstract

GST instead of indirect taxes has a significant impact on the textile industry. In this article we have tried to explain the impact of GST. The Indian textile industry employs a large number of skilled and unskilled workers. The tax on the textile sector will be strongly resumed with the introduction of the goods and services tax (GST). GST replaces a number of existing central and national taxes. The GST tax rate is higher than the current tax rate in the textile industry. Tax exempt natural fibers (cotton, wool) are taxed under GST. Nevertheless, the entire textile industry will benefit from the introduction of GST.