Grappling with tax issues
While business traffic is being driven into Tamil Nadu, CN Prasad, Chairman, TN, IATO, says taxes on hotels, VAT, etc, are affecting the state’s MICE potential.
Tamil
Nadu, which has witnessed consistent jump in business traffic, is grappling with the challenges thrown upon due to higher taxes.
As per Prasad, “Chennai has emerged as the centre for automobile and other industries, which has led to an increase in business traffic. We have the state-of-the-art convention and exhibition facilities in Chennai and Coimbatore.
But, the high taxes on published tariff on hotels, VAT and other taxes are affecting conference and MICE potential.
Similarly, most of the hotels have 40-60 rooms inventory, which during the peak season, creates problems in accommodating groups.”
“To address many of the emerging challenges, we require state-recognised guides who should charge less than Govt of India Guides, being used for foreign tourists primarily. We also require better road signs in English besides local language to show monuments and temples,” he added.
Elaborating further on the strengths of the destination, Prasad told that Tamil Nadu has wide roads to con- nect all these places and lately, many 3- star hotels have come up even at religious places.
“Tamil Nadu is a roundthe-year tourist destination. It has temples, 5-world heritage sites, beaches, wild life and hill stations. UNESCO has declared Mamallapuram as an example of Dravidian art and architecture,” he added.