A crucial meeting of the empowered committee on state-level value added tax will be held in New Delhi on Tuesday to thrash out the problems that have stalled the implementation of the system from April 1.

West Bengal Finance Minister Ashim Dasgupta, chairman of the committee, will preside over the meeting.

The empowered committee comprises finance ministers of only about half-a-dozen states, but other states are not barred from attending it.

Most of the states have announced that they would implement VAT, which would replace all state taxes except the entry tax, only after their neighbours have done so. Some have said they would prefer to wait till Tuesday's meeting.

Traders had gone on a two-day nation-wide strike last week to protest against the VAT proposal.

Official sources said Tuesday's meeting was expected to be attended by representatives from states other than those on the empowered committee.

Finance Minister Jaswant Singh has gone on record, stating that it was now up to the states to decide on the date for implementation of VAT and the role of the Centre was limited to that of a facilitator.

UNI