No tax exemption on cutting, polishing of marbles: PC

New Delhi, Mar 20 (UNI) Setting aside the demands of members from Rajasthan, Finance Minister P Chidambaram today clarified that cutting and polishing of marbles was a manufacturing industry that would not be exempted from tax.

''Cutting and polishing of marbles amount to manufacturing, and will, therefore, continue to attract excise duty,'' Mr Chidambaram said while replying to the debate on the Finance Bill 2006-07 in the Lok Sabha.

He said the Supreme Court had earlier stated in its judgement that cutting and polishing did not amount to manufacturing.

''But the previous NDA government had treated it as an industry, and we also continue to do the same,'' he added.

When a BJP member from Rajasthan vociferously demanded exemption, saying small traders were involved in it, Mr Chidambaram retorted: ''Marble is not a poor man's item. There are marbles that cost Rs 300-400 sq ft.'' UNI YJ MSJ G1607