Thursday, July 21 2005 18:07 Hrs (IST) - World Time -

New Delhi: All textile items will come under Value Added Tax (VAT) from the next fiscal year, Empowered Committee Secretary Ramesh Chandra said today (July 21, 2005).

States have agreed that the VAT rate on textile items will not exceed four per cent when it is implemented from April 1, 2006, Chandra said at a trader's conference in New Delhi.

At present, textile items attract additional excise duty and are exempt from VAT.