Karnataka government hikes liquor tax by 17 per cent to support COVID-19 relief

Mangalore Today News Network

Bengaluru, May 06, 2020:   Karnataka government on Wednesday announced a tax hike of 17 per cent on liquor in the state. Two days after liquor shops were allowed to open owing to easing of lockdown restrictions, chief minister BS Yediyurappa on Wednesday announced hike in excise taxes.

 

The special 11 per cent ’COVID19 fees’ comes in addition to 6 per cent hike on excise that the state government had announced in its budget for 2020-2021 taking the total hike in taxes to 17 per cent. The announcement on hike was made byCM BS Yediyurappa while announcing an economic relief package to farmers, weavers, construction workers, MSMEs and workers from the unorganised sector.

On May 5, second day of liquor sales, Karnataka had sold 36.37 lakh litres of IML worth Rs 182 crores and 7.02 lakh litres of beer worth Rs 15 crore. In all Rs 197 crore worth liquor was sold in the state on Tuesday. A cash strapped Karnataka hopes to generate additional revenue with increased tax hike on liquor.

Courtesy:Indian Express