Karnataka Budget: ‘Cheers’ for alcohol lovers, Siddaramaiah removes VAT on liquor

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Bengaluru | Updated: March 15, 2017 6:30:34 PM

Announcing the state budget, Chief Minister Siddaramaiah said that value-added tax (VAT) on liquor will be removed from April 1. This includes beer, fenny, liqueur and wine.

Karnataka had imposed 20 per cent hike in additional excise duty on Indian-made liquor for the 2015-16. (PTI)

In a relishing news for liquor enthusiast, Karnataka Budget for 2017-18 has proposed a number of measures that are bound to bring down the cost of wine and beer in the state.  Announcing the state budget, Chief Minister Siddaramaiah said that value-added tax (VAT) on liquor will be removed from April 1. This includes beer, fenny, liqueur and wine. As per the budget, administrative fee of Rs 2 per litre on export and Re 1 per litre on spirit (excluding ethanol) is set to be withdrawn.

Karnataka has given several sops in its populist budget. The government has also announced free water to slum dwellers and Namma canteen for the state. The sops also include free LPG service for 5 lakh families.  K’taka govt has allocated Rs 100 crore for setting up of Namma Canteens in Bengaluru, it’ll provide breakfast for Rs.5, lunch/dinner for Rs.10. Last year, Karnataka had imposed 20 per cent hike in additional excise duty on Indian-made liquor for the 2015-16.

To bring ease in commutation, Government has announced an addition of 3000 new buses during 2017-18 capital city of Bengaluru. The city will also have 150 electric buses. The value-added tax (VAT) on liquor will be removed from April 1. This includes beer, fenny, liqueur and wine. As per the budget, administrative fee of Rs 2 per litre on export and Re 1 per litre on spirit (excluding ethanol) is set to be withdrawn.

Watch | Siddaramiah Reveals Populist Schemes, Removes VAT On Liquor In Karnataka Budget

The CM also announced allotment and construction of 3000 new flats announced. The sops also included free LPG service for 5 lakh families. Going Amma way, the government allocated Rs 100 crores for Namma Canteens which will provide breakfast for Rs.5, lunch/dinner for Rs.10. Karnataka government also proposed to set up a Centre of Excellence in Data Science and Artificial Intelligence and Cyber Security Centre.

Further inputs awaited

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