VAT Bill welcomed

Special Correspondent

CHENNAI: Welcoming the passage of the Value-Added Tax Bill in the Assembly on Tuesday, the CII here said implementation of VAT would improve the competitiveness of industry in the State.

"It will avoid the cascading nature of taxes in Tamil Nadu and would result in a cost advantage over other competing States. The system of input tax credit under VAT will promote production efficiency of investments. The rate of tax on export goods will be zero and yet credit will be given on tax paid on the inputs ... making our exports more competitive," the CII-TN chairman Sanjay Jayavarthanavelu said in a release.