SALEM: The Salem All Traders' Association has threatened a three-day shop closure if the Salem corporation fails to withdraw the steeply increased property tax within a week, alleging that several commercial establishments have been burdened with disproportionately high taxes, with some facing demands that are several times higher than the rent generated from their properties.
The traders said property tax in Salem corporation limits was revised sharply in 2022, following which they had repeatedly demanded that the hike be withdrawn. A resolution was also passed at a corporation council meeting and sent to the government, and traders were earlier advised to continue paying the old tax amount until further orders were issued.
However, the association alleged that after the change in administration and the appointment of new corporation officials, commercial property owners were being directed to pay the revised tax within the stipulated period and were being warned of action, including property seizure, if they failed to do so.
At a meeting of the All Traders' Association, representatives alleged that the corporation had increased property tax at a much higher rate compared with other major corporations and had failed to respond to their repeated demands for its withdrawal.
They said there were around 40,000 commercial establishments within the corporation limits, but the revised tax had reportedly been imposed on only around 3,000 establishments, which they termed discriminatory.
"Before the revision, some establishments were paying only around `4,000 to `5,000 as property tax, but they are now being asked to pay the tax in lakhs. There are also several discrepancies in the assessment, with some smaller establishments being levied higher taxes than larger properties," said A Jayaseelan, secretary of the Salem All Traders' Association.
The traders further said that in several cases, the property tax fixed by the corporation was several times higher than the rental income generated by the building, making it difficult for property owners and traders to bear the additional financial burden. They demanded that the corporation review the revised assessments and withdraw the steep hike.
Jayaseelan said the corporation should take a decision on withdrawing the hike within a week, failing which the traders would launch a three-day shop closure across Salem in protest.
