More than 200 handmade products across six broad sectors have been identified by a 14-member committee, constituted by the Gram Seva Sangha, that could benefit from 0% tax under the Goods and Services Tax (GST).
The committee, headed by sociologist Ashish Nandy, looked into the definition of handmade, on how many products can be considered handmade, and why it is important to provide zero tax on handmade goods in the country.
Releasing the committee’s interim report here on Tuesday, theatre personality amd activist Prasanna, whose fast to create awareness on 0% tax on handmade products entered fourth day, said the list is not final.
“The committee has found over 200 products and has come out with a definition on what constitutes handmade products. These should help the GST council to identify them,” he said.
These products have been classified under agriculture produce, forest, handloom and khadi, handicraft, services and cultural performance produce.
Committee members include Shyam Benegal, film-maker; Uzramma, Federation of All India Handloom Organisations; Rajendra Singh, water conservationist, and Ajay Kumar Singh, former Karnataka Director-General and Inspector General of Police.
According to Mr. Prasanna, who is spearheading the tax denial satyagraha, some of the handmade products identified by the committee is already 0% tax, while some have been levied 28% tax. He also demanded that the limit for 0% tax for artisans be raised from ₹20 lakh to ₹50 lakh.
Meanwhile, Mr. Prasanna also announced that he would continue his fast indefinitely.
Sangh submits petition to CM
The State government is likely to raise the issue of 0% tax on handmade products at the GST council meeting. The Gram Seva Sangh had approached Chief Minister Siddaramaiah with a petition signed by over 100 important personalities.
The sangh also submitted the interim report prepared by the committee. CmofKarnataka, the official twitter handle of the Chief Minister on Monday tweeted: “CMO is working with Prasanna to prepare the list of handmade products for advocating zero GST at the council.”