And CII wants CST reduced to 1%.
MEANWHILE in a pre-budget meeting with Revenue Secretary Shaktikanta Das, CII suggested reducing the CST rate from 2% to 1% due to the delay in implementation of GST.
CII further suggested:
1. short-term stimulus package involving reduction of excise duty on certain goods should continue up to March 15, 2015.
2. rationalization of CENVAT credit scheme by doing away with the negative list.
3. Infrastructure companies should be exempted from paying MAT.
4. The MAT on SEZs should be abolished.
5. Benches of CESTAT should be increased to resolve indirect tax litigation where there is a huge pendency on excise and service tax cases.