"The state government is collecting cess on petrol and diesel at a time when there is a large-scale protest against the central government over the rising prices of petrol and diesel. The price of liquor is being increased again. The consequence of this is that more people will turn to drugs. The state government has done everything without conducting any study on this. The real figures are all hidden. Incomes are falling drastically. In Kerala, there is a tax increase of only two percent. We have failed miserably in tax collection. The UDF will launch an open protest against the tax hike," Satheesan said.
"The cess is imposed without increasing the social security pension. The announcements in the budget have no relevance", he added.
Ramesh Chennithala also came forward to criticize the additional tax proposals announced in the budget. "Increase in fuel prices will lead to inflation. This is a budget that will divide the people. Additional tax is imposed on everything. The Pinarayi government is doing the same thing as Narendra Modi is doing by putting extra burden on the people. Is this the left alternative?" he asked.
A huge tax increase has been announced in the budget presented by the Finance Minister in the Assembly today.
The prices of petrol and diesel have been increased by Rs 2 per litre through the imposition of social security cess. With this, the stage is set for a huge increase in the price of essentials. The electricity tariff has also been increased. Electricity duty has increased by 5 percent for commercial and industrial units.
There will be an increase of Rs 20 for Indian-made foreign liquor priced between Rs 500 and Rs 999 and Rs 40 for liquor above Rs 1000. This is to mobilize additional resources through the Social Security Seed Fund. This amount will be used to provide social security to the weaker sections. A new social security cess has also been imposed on alcohol.
