The Hindu : Andhra Pradesh News : Bandh against VAT total in Tirupati

Online edition of India's National Newspaper
Thursday, Mar 31, 2005

Andhra Pradesh

Andhra Pradesh

Bandh against VAT total in Tirupati

By Our Special Correspondent

TIRUPATI. March 30. Commercial activities came to a standstill in Tirupati following a trade bandh observed by the local business houses protesting against the imposition of Value Added Tax (VAT) with effect from April 1.

Though traders through out the State are opposed to VAT, those in the Chittoor district have a special reason to be more concerned about it due to their proximity to Tamil Nadu where VAT is not enforced with the State Government rejecting it outright. The leaders of the district Chambers of Commerce argue that because of the non-implementation of VAT in Tamil Nadu bordering the Chittoor district, commodities would be far cheaper there compared to their prices in Andhra Pradesh which would eventually make the public buy all their requirements from Tamil Nadu.

Traders' support

"Let them enforce VAT in Tamil Nadu also and we will have no objection in accepting it," they said. The local chambers leaders have in fact succeeded in winning the traders over to their side by playing the Tamil Nadu card and the success of Wednesday's bandh is more than a proof of it.

Hotels closed

Besides other trades, hotels and restaurents also opposed VAT and joined the bandh throwing the hospitality industry out of gear in the pilgrim-choked temple city.

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Andhra Pradesh