The Times of India 16.03.2013
Diamond manufacturers, traders differ over professional tax protest
SURAT: A majority of diamond manufacturers from Saurashtra
are unhappy over the protest by diamond traders, especially from north
Gujarat in Mahidharpura diamond market, against the payment of professional tax to Surat Municipal Corporation (SMC).
Leaders of Saurashtrian Patel diamond community said all the diamond
manufacturers, be it small, medium and big companies, are paying
professional tax on a regular basis to the civic body. The market is
passing through a tough phase and that the traders should not force the
diamond markets to remain close, they opined.
Industry leaders said transactions worth crores of rupees have been affected due to the ongoing protest against professional tax. Diamond manufacturers are not getting payments from the traders due to the agitation.
Chandu Sheta, leader of small diamond manufacturers in Varachha, told TOI, "There should not be such a noise by the diamond traders over professional tax. We cannot afford to keep the industry shut, looking at the tough market conditions."
Janak Hirpara, a diamond manufacturer in Mahidharpura, said, "It is the merchants, who are opposing the professional tax payment. The income generated from professional tax is spent on infrastructure and other basic facilities in the city."
. We are contributing to the city's development by paying the taxes. I am paying around Rs 1 lakh in professional tax for employing around 80 workers in my factory."
Suresh Gabani, a diamond manufacturer in Varachha, said, "The diamond traders have less than 10 employees who do assortment of rough and polished diamonds. The payment of professional tax by them must be less, compared to diamond manufacturers."
Diamond traders said the civic body had promised not to collect professional tax after last year's agitation. But, the professional tax department swooped down on the diamond offices in Mahidharpura in the past few days and sealed more than 150 offices.
Rasik Mehta, a diamond trader, said, "We are dealing in diamonds and not manufacturing them. Hence, we are not liable to pay professional tax. The tax is applicable to the manufacturers who are employing workers to process diamonds."
An SMC official said, "Almost 50 per cent of the people connected with the diamond industry have been paying professional tax. It is only the traders who are not paying the tax. This was the reason why we have resorted to sealing the offices of diamond traders in Mahidharpura."
Industry leaders said transactions worth crores of rupees have been affected due to the ongoing protest against professional tax. Diamond manufacturers are not getting payments from the traders due to the agitation.
Chandu Sheta, leader of small diamond manufacturers in Varachha, told TOI, "There should not be such a noise by the diamond traders over professional tax. We cannot afford to keep the industry shut, looking at the tough market conditions."
Janak Hirpara, a diamond manufacturer in Mahidharpura, said, "It is the merchants, who are opposing the professional tax payment. The income generated from professional tax is spent on infrastructure and other basic facilities in the city."
. We are contributing to the city's development by paying the taxes. I am paying around Rs 1 lakh in professional tax for employing around 80 workers in my factory."
Suresh Gabani, a diamond manufacturer in Varachha, said, "The diamond traders have less than 10 employees who do assortment of rough and polished diamonds. The payment of professional tax by them must be less, compared to diamond manufacturers."
Diamond traders said the civic body had promised not to collect professional tax after last year's agitation. But, the professional tax department swooped down on the diamond offices in Mahidharpura in the past few days and sealed more than 150 offices.
Rasik Mehta, a diamond trader, said, "We are dealing in diamonds and not manufacturing them. Hence, we are not liable to pay professional tax. The tax is applicable to the manufacturers who are employing workers to process diamonds."
An SMC official said, "Almost 50 per cent of the people connected with the diamond industry have been paying professional tax. It is only the traders who are not paying the tax. This was the reason why we have resorted to sealing the offices of diamond traders in Mahidharpura."
