No proposal to increase VAT on Pashmina shawls: Omar Abdullah

Srinagar: Jammu and Kashmir Chief Minister Omar Abdullah on Saturday said there was no proposal or discussion in the GST council to increase tax on Pashmina shawls, and the speculation over it was "ill-informed commentary."

"Contrary to media speculation & some ill-informed commentary there was no proposal or discussion to increase VAT on Pashmina shawls to 28%. We had gone to Jaisalmer fully prepared to defend the interests of our shawl weavers & handicrafts persons but the defence was not necessary," Abdullah said in a post on X.

Earlier in the day, he attended the council's meeting chaired by Union Finance Minister Nirmala Sitharaman in Jaisalmer.

His comments came amid criticism from PDP chief Mehbooba Mufti, who alleged there was a proposal to hike the tax on shawls which would "finish" the Kashmir valley's famed craft.