Odisha News Insight

VAT on Pulses soon to be reduced in Odisha, says Finance Minister

Pulses-OdishaThe Odisha government assured the traders for reduction of value-added tax (VAT) on pulses from five per cent to one per cent for three months. The decision has been taken on a trial basis in revenue collection.

Odisha Traders long pending demands lifting of VAT on pulses and other edible items like wheat and wheat products, oil and sugar was discussed at a high level meeting here chaired by Finance Minister Pradip Kumar Amat. He said that the VAT reduction will require approval of the State Cabinet.

The next general body meeting of Federation of All Odisha Traders’ Associations (FAOTA)  has been convened on June 1, where the association will announce its future course of action as per the decision of the meeting,” said Sudhakar Panda , Secretary FAOTA.

If FAOTA’s claim of higher tax collection after VAT reduction will prove right, the Government will consider similar reduction on other items,” Amat told reporters after the meeting.

The FAOTA earlier alarmed to stop procurement of pulses from other States in June 2015.

The state consumes about 67,000 metric tonne of pulses and 12,000 metric tonne of wheat every month.

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