T’puram: Opposition boycotted assembly discussions to protest govt’s budget proposal to significantly reduce tax on low-alcohol beverages. Opposition leader Pinarayi Vijayan alleged on Wednesday that by offering a lower tax rate, UDF govt has set the ground for huge corruption. “Govt is creating an opportunity that could lead to significant damage in society. No govt in Kerala’s history ever took a step that led to free flow of liquor,” he said after opposition boycotted the proceedings.Kerala has a heavy tax structure for liquor. But with the passage of Finance Bill, govt has cut the tax on a particular type of liquor by 130%. “The major question is why CM V D Satheesan is in a hurry to introduce the tax cut. It’s not the opposition alone that opposes this. There was no discussion or consensus in UDF over the proposal,” said Vijayan, adding that even the cabinet had not discussed the proposal before its introduction in the budget. He alleged that the CM smuggled in the pernicious policy by keeping everyone in the dark.Meanwhile, speaker Thiruvanchoor Radhakrishnan ruled out the point of order raised by former FM K N Balagopal. He dismissed the ex-FM’s claim that the Bill was not presented before business advisory committee (BAC) and Vijayan later acknowledged the mistake. He said the opposition never anticipated a tax cut and hence did not raise objections when the Bill came before BAC.Satheesan said the Bill was already cleared by BAC on Jun 24 and nobody proposed any amendment to it. He said there were proposals to provide liquor tax cuts in the Finance Bill introduced by Balagopal when he was the FM. He said LDF’s current protest is political.Vijayan claimed there were plans to provide tax relief to horti-wine as it would benefit farmers. “It would have benefitted cooperative sector, small businessmen and farmers. UDF decision will only help multi-national liquor manufacturers to mint money from Kerala,” said Vijayan.Questioning Vijayan’s claims, Satheesan asked if LDF govt was aiming to benefit farmers, why did it hold discussions with representatives of Bacardi? The assembly passed the Bill despite the opposition’s protest.
