Agrofood chamber seeks I-T exemption to small retailers
Unlike traders under the MSME (Micro, Small and Medium Enterprises) Act, there’s no law to protect the small retailers.
MADURAI: To protect the livelihood of retail traders, Agrofood Chamber of Commerce and Industry in Madurai has sought the intervention of authorities seeking income tax exemption for every retailer with an annual turnover of up to Rs 3 crore.
Most of the small retailers, especially in grocery sector were on the verge of closure after the outbreak of COVID as they could hardly face fierce competition and unethical marketing tactics such as predatory pricing policy adopted by the corporate sector, S Rethinavelu, president, Agrofood Chamber of Commerce and Industry, said.
Unlike traders under the MSME (Micro, Small and Medium Enterprises) Act, there’s no law to protect the small retailers. Further, he said any such closure would result in an increase of unemployment. ‘Various business stakeholders invest heavy amounts to create job opportunities and why not put some money in the pockets of small retailers to retain them in business and continue to provide employment,” he said.
No doubt, retailers are the backbone of our economy contributing almost 10 percent to GDP. There are 12 million grocery retail outlets across India and out of which 60 per cent are small retailers with annual turnover of up to Rs 3 crore.
Considering these factors, Rethinavelu said Union Finance Minister Nirmala Sitharaman should give income tax exemption to small retailers with an annual turnover up to Rs 3 crore in the ensuing Union Budget. He made an earnest appeal to enact a law to protect small and medium retailers.