‘Cracker units’ issue will be raised at council’

Responding to a question on reducing GST for crackers as it was done in the case of fertilisers, Jayakumar said that steps are in place to protect the interest of about 10 lakh people employed either directly or indirectly in the matches and crackers industry. 

The Minister also said that the matter would be taken up in the ensuing GST Council meeting since the import of crackers due to higher tax rates might hamper the industry, ahead of ‘Deepavali’. 

On providing entertainment tax exemption to films, Veeramani observed that the prevailing exemption model for ‘Tamil titles’ would continue, and the revenue generated under the entertainment tax would be continued to be utilised for development activities by the local bodies like before. C Chandramouli, Additional Chief Secretary, Commercial Taxes and Registration Department, clarified that the exemption is not automatic and subject to terms and conditions laid out in this regard. 

As for the apprehension of increase in prices, Chandramouli said the anti-profiteering clause in GST can be invoked against those inflating the prices at exorbitant rates.

“The idea of anti-profiteering is only aimed at reducing the prices, and the focus would be on major players not retailers”, he said. 

“The Centre had conceded the demands made by our former Chief Minister J Jayalalithaa who took a stand that the tax regime of state should not be hindered in any manner”, observed the Ministers, who also assured that the other requests made by the traders and other stakeholders would be continued to be taken up in the ensuing Council for discussion. 

“At present a toll-free helpline (1800-103-6751) to allay doubts over GST is functioning round-the-clock, and a similar helpline to redress grievances of the public will also be setup”, the Ministers said.

The Ministers also addressed the media at the Secretariat on Saturday afternoon on their return from Delhi after participating in the midnight GST rollout in Parliament.