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Tuesday, December 2, 2008

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10/13/08 07:25 AM

IRAN

Merchants close shops as they oppose sales tax

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TEHRAN, Iran (AP) — Merchants in Tehran’s main market have closed their shops in protest of a new sales tax despite the government’s announcement that it would suspend the measure for two months.

Gold, carpet and textile merchants participated in Sunday’s strike against the 3 percent value-added tax that was imposed in September.

Iranian President Mahmoud Ahmadinejad ordered his government to suspend the new tax for two months Thursday, a day after a rare strike by merchants worried about how the new measure would affect their business.

Merchant strikes have been rare in Iran over the last three decades. A series of merchant strikes helped lead to the 1979 Islamic revolution, with store owners joining clerics to help topple Shah Mohammad Reza Pahlavi.


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