Textile traders from Andhra Pradesh plan to go on an indefinite strike from April 30 and will stop purchasing from other states from April 15 to protest against the imposition of 5 per cent VAT (value-added tax) by the state government.
AP is the only state, which has imposed a 5 per cent VAT on textiles from July 11 last year.
Speaking to mediapersons here on Monday, Andhra Pradesh Federation of Textile Associations president Ammanabolu Prakash alleged that the commercial taxes authorities were retaining their bales, and were demanding 5 per cent VAT and an additional 5 per cent penalty with interest apart from bank guarantee to release them under the VAT Act.
The textile body had expressed its resentment through hunger strikes and closing shops. It had also requested the government to withdraw the imposition and submitted an alternative tax proposal.
“In spite of all our efforts and requests, the state government is not responding. So, we have decided to go on an indefinite strike,” he added. The association would submit a memorandum to the UPA chairperson and to the Union finance minister in this regard.
The traders will tour 18 constituencies in the state, where byelections are to be held shortly, to highlight their problems and educate the consumers on the burden of this additional tax, he said.
A rally - Chalo Hyderabad - will also be organised in the first week of May by gathering small and big traders from each district.