Textile traders, jewellery shop owners go on one-day strike against hike in property tax and electricity charges

Urging the Central government to withdraw the 18% Goods and Service Tax (GST) on commercial property rent and the State government to reverse the hike in property tax and electricity charges, around 30,000 shops were closed across Erode district on Friday.

The Federation of All Trade and Industry Associations of Erode District (FATIA), an apex body comprising 75 associations in the district, called for a one-day strike as the GST on rent came into effect on October 10, 2024. The association also noted that the increase in property tax, garbage tax and electricity charges was having a severe impact on their businesses.

Most of the textile shops, jewellery, and hardware shops on Eswaran Kovil Street, Brindha Street, Thiruvenkatasamy Street, and other parts of the city, as well as in Sathyamangalam, were closed. Commercial autorickshaws, tea shops, eateries, loadmen and other businesses relying on these shops were also affected. However, many associations in Bhavani, Gobichettipalayam and Perundurai did not take part in the strike.

The Erode District Small Industries Association (EEDISSIA), which did not join the strike, urged its members to voice their grievance to the association so that the issues can be taken up with the Central and State governments and relevant officials for redress.

In a communication to its members, association president V.T. Sridhar said issues related to GST on rent, taxes associated with trade, property and garbage levied by local bodies, electricity charges and other concerns could be reported to the association through mail or post immediately.

In Salem district too, traders downed shutters over the issues.

Almost 90% of shops were closed in the Salem Corporation area. All the shops at Leigh Bazaar, Pal Market, cloth shops in Kondalampatti, slipper and shoe shops at Kallankuthu, and automobile spare parts shops at Old Bus Stand were closed.

Traders came to the Corporation office and submitted a petition. Speaking to reporters, Salem City Chamber of Commerce general secretary Jayaseelan said that due to hikes in property tax, professional tax, and garbage tax, the traders faced various difficulties.

Now, GST was imposed on rent, which forced the traders to close down shops. Since the time of COVID-19, traders were facing various issues in the business. So, the GST imposed on rent should be revoked. “We are not protesting against the government and only demanding to sort out issues in imposing GST,” Mr. Jayaseelan added.

Published - November 29, 2024 07:06 pm IST