APFCCI wants CST scrapped

• Representatives of Chamber of Commerce from 13 districts meet
• Seeks Goods and Services Tax

Vijayawada: AP Federation of Chambers of Commerce and Industry which was formed with representatives of 13 districts here on Sunday demanded scrapping of Central Sales Tax (CST) on purchases and introduction of Goods and Services Tax (GST).

At a meeting organised by the Vijayawada Chamber of Commerce and Industry here, the president of the Chamber V Bhaskara Rao told the media that industries in the AP region constituted only about 15 per cent. The rest of 85 per cent were in Telangana, he added.

He said every commodity had to be purchased by traders in Telangana and sold in Andhra Pradesh. As such the CST of two per cent was a burden on AP tradersm, he said. Instead of CST, the Government should implement GST under which industries include their taxes on products at the manufacturing stage, he opined.

The chamber demanded exclusion of onions and potatoes from the Essential Commodities Act as it could play havoc with traders. Members strongly opposed the non-bailable clause in the Act. They wanted the Value Added Tax (VAT) on a few commodities to be cancelled.

Rao said the new AP government did not clarify its stand on setting up of industrial corridor in the State. He wanted the administration to brief the Chamber about such decision at the earliest for proper negotiations.