Mr N. Jegatheesan, President of the Chamber, in a statement here said that the sudden enhancement announced in VAT rates on commodities, abnormal in nature and resorted to without any prior consultation with the trade and industry representatives, would cause considerable increase in the prices of all commodities in the State.

Bringing hitherto tax exempted textile and textile products under 5 per cent tax bracket would seriously impact the textile sector. Enhancement of taxes to garner Rs 4,700 crore additional revenue and that too, prior to the presentation of the State budget is unparalleled in the history of Tamil Nadu, he added.

Source : The HinduBusinessLine, India, dated 12/07/2011