Exorbitantly revised property tax by local bodies about to decimate ailing tiny, small industries in Tirunelveli district

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Even arsenic the Tamil Nadu Government is claiming that the State’s investor-friendly policies are attracting hefty concern investments crossed the State to make thousands of jobs, the exorbitantly hiked spot taxation by the agrarian section bodies is astir to spell decease knell for the already ailing marginal and tiny industries successful the territory guaranteeing the workers and their families’ regular bread.

As the large parts of the adust Manur taluk of the territory are situated supra affluent limestone deposits, limestone mining and limestone pulverization manufacturing are large employment-generating activities successful this region. Besides creating employment for the locals, particularly for the unskilled and semi-skilled workforce, these units besides make sizable income to the section bodies done spot tax.

As agelong arsenic this spot taxation remained beneath the tenable slab, it was a win-win concern for each acrophobic – owners of the limestone pulverization making units, workers and the colony panchayats. While the owners managed to make important gross from their units, the workers could get regular enactment and the section bodies received regular gross done spot tax.

After the authorities allowed the section bodies to revise the spot tax, the small, marginal and mean industries are staring astatine bleak aboriginal arsenic the section bodies person exorbitantly raised the spot taxation – up to 800%.

Owner of a limestone pulverization manufacturing portion successful Manur taluk, who did not privation to beryllium identified, told The Hindu that the yearly spot taxation of ₹12,000 for his mill had been revised to ₹1.02 lakh now.

“Of the 60-odd limestone and integrative industries functioning nether Sethurayanpudhur and Madhavakurichi colony panchayats, astir 10 manufacturing units, which are already struggling to enactment afloat, person been closed aft these agrarian section bodies usuriously hiked the spot tax,” helium said.

Secretary of Tirunelveli District Small and Tiny Industries Association Sanjay Gunasingh, who is moving a tiny concern portion manufacturing engineering goods nether the Nochikulam colony panchayat adjacent Palayamkottai, says the yearly spot taxation of ₹50,000 helium was paying to this panchayat had present been extortionately revised to ₹6 lakh a year!

“This is thing but decimating the tiny, micro and tiny concern units, which unsocial springiness much fig of employment to agrarian mediocre – mostly semi-skilled and unskilled workers. The unmindful upward revision of spot taxation volition surely strangulate these agrarian manufacturing units precise soon to permission the workers successful the lurch,” Mr. Sanjay said.

Most of the affected investors are acceptable for paying the “reasonably hiked” spot tax.

“However, without immoderate treatment with the owners of tiny and micro industries, the section bodies person effected 600% to 800% hike successful the spot taxation now, which is unbearable. The Ministers for Revenue, Local Administration, Marginal, Small and Medium enterprises and others should instruct the section bodies not to fleece the manufacturing units nether their jurisdiction successful the guise of taxation collection,” Mr. Sanjay suggested.

When contacted, District Collector R. Sukumar assured that helium was acceptable to look into the taxation contented and initiate due remedial measures by taking up the grievance with the higher-ups successful Chennai to find amicable solution if the affected limestone pulverization and the engineering goods manufacturing units taxable a broad memorandum to him.

Published - January 23, 2026 08:10 p.m. IST

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