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Mangalore, April 9

Beedi workers here have urged the State Government to withdraw 12.5 per cent VAT (value-added tax) imposed on beedi in the recent budget. A press release by the Mangalore Ganesh Beedi Works Employees' Association said here on Monday that the Union Budget for 2007-08 had imposed Rs 4.24 of Central Excise duty on every 1,000 beedis rolled. Added to this, the State Government has imposed 12.5 per cent VAT on beedi. These measures will affect beedi industry. Nearly eight lakh people are dependent on this industry, either directly or indirectly. The association demanded that the State Government take steps to withdraw VAT on beedi.

More Stories on : Taxation | Cigarettes | Karnataka

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