Decision on VAT after Khadoor bypoll: Mittal

Ludhiana: The state government will take a decision on rationalsing rates of VAT for yarn, cycle, sewing machine etc after Khadoor Sahib bypoll, said industries minister Madan Mohan Mittal during a conversation with TOI.
Mittal had convened a meeting of yarn manufacturers in November to address their grievances. During this meeting industrialists had alleged that high rate of VAT on yarn as compared to other states has destroyed their industry and forcing many yarn factories to shut down.Though Mittal had assured them reduction in VAT on yarn soon, industrialists got no respite till date.
"Unfortunately due to one reason or other, this decision remained pending since November. But this time it's for sure that after the Khandoor Sahib byelections, we would announce some relief measures for the industry of the state," said Mittal.
He also said, "Though I can't assure by how much percentage VAT will be reduced, but we will do what is required to boost the industry."
Mittal denied any charges that there are any differences between the stand of coalition partners --- SAD and BJP --- regarding incentives for the industry.
He said, "The chief minister and deputy chief minister are keeping a tab on the status of industry on a daily basis and they are doing their best for the progess and development of industries in Punjab. Both of them have expressed their willingness in giving relief to the deserving industry in terms of rates of VAT and I have been given the important responsibility of deciding it."
Box- Govt mulls fixing power rate for industry
Mittal also disclosed that the government is planning to fix rate of electricity for existing industrial units of the state. "Though no concrete decision has been taken yet in this regard, it is certainly on cards. In the interest of the industry we are also planning either to slash power rates or fix a flat rate for them. But this proposal is still in the pipeline and everything will be decided later this month."