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Tamil Nadu Chamber of Commerce and Industry has strongly opposed the decision of Madurai Corporation to levy service tax for garbage clearance.
N Jegatheesan, Chamber president, said in a statement that the civic body has slapped the levy on lodges, hotels, marriage halls, hospitals, markets, showrooms, shopping complexes, cinema theatres, small-scale industries and commercial establishments.
The levy of a minimum ₹18,250 and a maximum ₹1,82,500 a year for garbage clearance on such establishments within the Corporation limit is unjustified, especially in the case of lodges and marriage halls as they are not booked on a daily basis, he said.
The levy is several times higher than the property tax payable and it will force the closure of many establishments, Jagatheesan said.
He said it was the duty of Madurai Corporation, which collects property tax, to remove garbage. Separate service tax for garbage removal is not levied in any other local body in the State, he added.
The Corporation also collects professional tax and D&O licence fee from firms, he said and urged the Mayor and Commissioner of Madurai Corporation to withdraw the levy immediately.
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