Guide to GST on Textile Industry

 ......................................................................................................................................
Description
Goods and Services Tax (GST) has now completed more than seven years, marked by a tumultuous journey with frequent, significant changes that have obscured understanding of this complex and unique legislation. While the consensus achieved among all States in passing the GST is a remarkable feat, it necessitated compromises that diluted the implementation of pure value-added tax principles. The pursuit of simplicity has ironically led to increased confusion within the law and unfortunately allowed the resurgence of certain undesirable practices from the pre-GST era.
The Indian textile industry boasts a rich history dating back millennia, with evidence of cotton cultivation and weaving found in the Indus Valley Civilization. Renowned for its exquisite fabrics like muslin and silk, India's textiles were highly sought after globally. While the industry faced challenges during British colonial rule, it has since undergone significant transformation. Today, it stands as a major contributor to the Indian economy, employing millions, and is a significant exporter of textiles and apparel worldwide.
In this book, we will try to discuss the issues and challenges faced while the implementation of Goods and Services Tax (GST) has had a significant impact on the Indian textile industry. While GST aimed to streamline taxation and improve logistics, the sector has faced challenges such as inverted duty structures, where input taxes exceed output taxes, impacting cash flow. The varying GST rates across different segments of the textile value chain, from raw materials to finished products, have also created complexities. However, GST has also brought some benefits, such as improved input tax credits and a more transparent tax regime. The industry continues to engage with policymakers to address these challenges and ensure a level playing field for Indian textile manufacturers.
This book delves into the intricate relationship between the Indian textile industry and the Goods and Services Tax (GST) regime. It explores the historical context of the industry, its evolution, and the challenges it has faced over the years. The Indian textile industry holds immense significance in the Indian economy. It is a major contributor to employment, particularly in rural areas, and plays a crucial role in India's exports. The industry encompasses a vast spectrum, from traditional handloom and handicrafts to modern-day apparel manufacturing.
......................................................................................................................................
Table of Contents

PART I. INTRODUCTION AND OVERVIEW
Chapter 1. Introduction to Textile Sector
PART II. IMPACT AND ANALYSIS ON RELEVANT SECTORS
Chapter 2. Impact on Manufacturers and Traders
Chapter 3. Impact on Service Providers
Chapter 4. Impact on Job Workers
Chapter 5. Other Removals
PART III. CONCEPTUAL AND OPERATIONAL LAWS
Chapter 6. Classification and Exemption
Chapter 7. Input Tax Credit
Chapter 8. Valuation
Chapter 9. Place of Supply
Chapter 10. Reverse Charge
Chapter 11. Transitional Provisions
PART IV. VALUE ADDED CHAPTERS
Chapter 12. Exports, Imports, and SEZ Supplies
Chapter 13. Foreign Trade Policy Incentives
Chapter 14. Disputes Mitigation
Chapter 15. Departmental Actions
Chapter 16. Tax Planning in Textile Sector
Chapter 17. Notification, Circulars and Rates
......................................................................................................................................
Author Details
CA Madhukar N Hiregange [B.Com., FCA, DISA, CISA), is a senior partner of a multi-locational firm in India. He has jointly authored 36 books on Central Excise, Service Tax, Karnataka VAT and Excise/Service Tax Audit, IDT-IPCC Study Material, Central Sales Tax. 12 books in GST including Compendium of Issues and Solutions in GST - July 2021, GST Judicial Precedents (June 2023), Industry specific books on Real Estate (March 2022), Automotive sector (Dec 2023), Textile (Nov 2021), Pharma/Healthcare (February 2021), and many more. He is active in spreading awareness about Indirect Taxes through seminars, articles, linkedin, facebook, youtube, taxsutra & hiregangeacademy.com, thehiregangebridge.com, etc. He had been a Central Council Member, ICAI, for the term 2010-13 & 2106-19, with a vision of enhancing the credibility of the profession and strengthening the professionals in practice and employment. He had also served as Chairman of the Indirect Tax Committee, for the year 2012 and term 2016-19, with the privilege of leading a wonderful and contributing team for 4 years.
He is actively involved in efforts to make the indirect taxation simple, certain and fair, and also in creating an awareness of the potential of knowledge in the field of indirect taxes in India. Currently focusing on making graduates employable and provide valuable life lessons through various initiatives such as HNA Skilling, Hiregange Academy and The Hiregange Bridge.
He is managing trustee of the Empower Education Foundation and is interested in the education of lesser privileged. He firmly believes in "Value-Based Practice and Life".