GST Council defers hike in rates on textiles from 5% to 12%

Several states said in the meeting that there was no clarity on GST to be imposed on apparel, clothing and textile products, says Andhra FM

The Goods and Services Tax (GST) Council has decided to defer the hike in tax rate on textiles from 5% to 12%, announced Union Finance Minister Nirmala Sitharaman on Friday.

At a media briefing, Sitharaman said the GST meeting was called under the "emergency provision", and that the GST Council only had a brief meeting with one agenda.

"Gujarat FM requested for deferment of decision taken in the Sept Council meet on inversion of tax structure," she said.

Hike of GST rate on textiles from 5% to 12% was to come into effect from January 1.

GST Council has decided