With the Tamil Nadu government announcing new levies to mop up additional funds for welfare schemes, saris will be taxed for the first time in Tamil Nadu.

"This is the first time in my memory that our industry is being taxed,"Nalli Kuppuswami Chetty, owner of the famous Nalli silk store said.

The government had on Monday announced a 5% value-added tax on all textile items. In simple words, if you want to buy a sari worth Rs 10,000, you will have to cough up 5% or Rs 500 more.

"I am told that handloom silk is exempted from the new levy. It is very confusing, and we are awaiting clarifications. Normally, we are given time to get into new tax regime. This one came as a surprise,"Chetty said.

"We have a woman as chief minister; we certainly do not expect saris to be taxed. I hope the government withdraws it,"home-maker R Vijayalakshmi said.