MADURAI: Over 700 fireworks manufacturing factories downed shutters on Friday, protesting the 28% tax imposed on this trade. Around 1.5 lakh workers went without work.General secretary of the Tamil Nadu Fireworks and Amorces Manufacturers Association (TANFAMA) K Mariappan said, "The fireworks industry welcomes GST and appreciates all the bold steps that are being taken by the central government with a vision to improve the economy and image of our country in all respects. However, the 28% GST on the fireworks industry is too high, as this is an industry which has very minimal input credit."According to him, there are are 821 fireworks factories in Virudhunagar . "Only 51 of them pay a central excise duty of 12.5% and 14.5% VAT. These 51 factories are owned by 10 powerful industrialists in the region. The smaller industries only paid the 14.5% VAT and were exempted from all other forms of tax."The 51 industries were now paying a total tax of 30%, so a 28% GST was good news for them. On the other hand, the smaller factories which were paying only VAT of 14.5% would have to cough up more tax in the present GST of 28%," he said.He said that many representations made to the government had fallen on deaf years.

Stay updated with all the Chennai Latest News headlines here. For more exclusive & live news updates from all around India, stay connected with NYOOOZ.