Thiruvananthapuram: Opposition leader Pinarayi Vijayan has alleged that the state govt’s proposed tax reduction for low-alcohol liquor in the Finance Bill contradicts the chief minister’s assurance that the proposal would be implemented only after discussions within the UDF.The opposition leader said the Finance Bill tabled in the assembly includes amendments reducing the tax on low-alcohol beverages. The proposed changes reportedly fix the tax at 120% for liquor with alcohol content of up to 10% and 175% for liquor containing 10 to 20% alcohol. The opposition leader also pointed out that low-strength spirit-based Indian Made Foreign Liquor (IMFL) has been grouped with horti wine for the purpose of the amendment, claiming this is the first time such a tax concession has been proposed for this category in the state.Vijayan argued that once the Finance Bill is passed by the assembly, the tax provisions become law and cannot subsequently be put on hold through an executive order. It questioned the relevance of the CM’s statement that the issue would be discussed within UDF after the bill’s passage, alleging that the move was intended to facilitate the demands of liquor companies.He noted that while the CM had consistently defended the budget proposals as reflecting the govt’s policy, he took a different stand on the liquor tax issue by stating that it was not a collective UDF decision. He claimed that criticism from the opposition, media, religious organisations and even sections within the Congress and its allies indicated that the proposal lacked wider political consensus.Vijayan also alleged that the excise minister had distanced himself from the proposed policy change, suggesting that the CM, who also holds the fFinance portfolio, had acted unilaterally without adequate consultation within the govt. Calling for the proposal to be withdrawn, the opposition leader urged the govt to reconsider the tax concession for low-alcohol liquor, alleging that it would primarily benefit private liquor companies.
