Tamil Nadu Farmers Protest Against Taxes on Agricultural Tractors
Farmers Protest Against Taxes on Tractors in Coimbatore

COIMBATORE: The Tamil Nadu Farmers Association, affiliated to the All India Kisan Sabha (AIKS), staged a protest in front of the Coimbatore district collector’s office on Monday, as part of a nationwide protest against various taxes imposed on farmers.

Tax Burden on Agricultural Tractors

The protesters said that Goods and Services Tax (GST), Value Added Tax (VAT), and road tax are levied on agricultural tractors at the time of their purchase. Additionally, taxes are imposed on the diesel used for these tractors, further increasing the financial burden on farmers. The association demanded a full exemption from these taxes, highlighting their adverse impact on the income of farmers and their families.

AIKS Leader's Statement

AIKS district president S Palanisamy stated, “Tractors play a significant role at almost all stages of farming. Seven countries have already exempted taxes on agricultural tractors. Then why not India, where agriculture accounts for 18% of the overall GDP, exempt these taxes?” He added that such tax burdens force farmers to quit agriculture, and if the situation persists, it could affect the entire population.

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“The sky-rocketing prices of fuel add to the challenges that farmers are already struggling with. The increasing debt and decreasing income pose a threat to the survival of farmers in an agricultural country like India,” he emphasized.

Legal and Practical Issues

Palanisamy pointed out that taxes like road tax and the National Centre for Cold Chain Development (NCCD) are imposed on these tractors despite laws restricting their usage on national highways and expressways. Tractors are primarily used for agricultural fields and related purposes, he noted.

Demands and Petition

The farmers demanded the inclusion of agricultural tractors under the agricultural equipment category. A petition highlighting these demands was submitted to the district collector, addressed to the Union and state governments.

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