tax rate on duppatta

[Arihant Shah]

i want to know what is sales tax rate on duppatta or odhni. can we treat it as fabric.kindly suggest

[DEV KUMAR KOTHARI]

For better use of discussion forum always provide complete details, relevant law and your own view to seek views of others in a discussion like manner. Where is sale taking place, whether local or interstate, what are relevant entries in the ST rate of particular state are important information required. For example if there is entry like fabric, ready made garments, women wear... then duppatta can fall in catagory of women wear. If you sell only cut piece or cloth length for duppatta/ odhani without any stitching etc. then it can be consdered as fabric. So all relevant entries in rate table and all facts are necesary to be considered.

[RAJAT BAJPAI]

i also want to know the rate

[Rama Krishana]

If it is merely a cut piece of larger fabric than no doubt the same would be fabric and excluded from sales tax. But, in general there is some value addition to such cut piece to make it duppatta or odhni and therefore, it loose the state of fabric and become made up article of textile.

AI Summary

Classification of duppatta as fabric or made-up textile affects sales tax treatment and applicable local or interstate rates. Duppatta/odhni is treated as fabric for sales-tax purposes if sold as a mere cut piece with no stitching or value addition; if finishing, stitching or embellishment converts it into a wearable item, it may be classed as a made-up article of textile, changing the applicable tax entry. The place of sale (local or interstate) and the specific entries in the state rate table determine whether VAT or interstate tax rules and which rates apply.