Traders give a call for 'Delhi Bandh' against hike in VAT

New Delhi, March 27 (ANI): Traders in the national capital have given a public call to observe 'Delhi Bandh' in protest against the Delhi Government's proposal to increase in the VAT (Value Added Tax) slabs.

A decision to this effect was announced after the traders under the banner of Confederation of All India Traders (CAIT) gathered to stage a demonstration on Saturday (March 27).

The Delhi government in its Budget 2010-2011 proposed to hike VAT slabs on different commodities.

The Confederation of All India Traders (CAIT) called for a shutdown across Delhi and traders closed their shops till 1 p.m (local time) as a mark of protest.

Protest marches were also taken out in several markets and commercial hubs in Delhi.

The traders later gathered at the Chowk Hauz Qazi and staged a sit-in protest demonstration.

Demanding the withdrawal of VAT slabs rise, Praveen Khandelwal, Secretary General of CAIT said that increase in VAT slabs would lead to outstation traders, who throng Delhi markets in large numbers every day, shifting to neighbouring states.

He also mentioned that the Delhi government would lose revenue to the tune of rupees 5,000 crore.

"The way the Delhi government in its Budget proposal 2010-2011 proposed to hike the VAT slabs, it will severely affect trade in Delhi. Thus Delhi will become costly in comparison to other states and all those outstation traders, who come to Delhi every day will go to neighbouring states for their business deals. All this will affect the traders of Delhi and the Delhi government would lose around rupees 5000 crore revenue," said Praveen Khandelwal.

If the government fails to meet their demands, the CAIT would call for a meeting of its member on April 2 to decide on its future course of action. (ANI)