Alcohol to become expensive in Goa: Here's why
Goa's celebrated tag of providing cheap liquor may be snatched away soon, as Chief Minister Pramod Sawant hiked rates in the maiden budget that he presented on Thursday. Sawant also revised property rates in the coastal state, to match the market value. These changes will generate additional revenue of Rs. 250-300 crore, that will be used for infrastructure projects. Here are more details.
Limited tax base, want to plug leakages: Sawant
Sawant, who is also the Finance Minister, lamented that Goa has a limited tax base. "However, I am taking special efforts to plug the leakages and improve efficiency in tax collections," he added. With the same intention, he increased excise and stamp duties. Tax rates had remained the same in the last two budgets, and property rates last witnessed changes in 2013.
Beer will get costlier by Rs. 5 to Rs. 15
The BJP leader increased excise duty on beer, Indian Made Foreign Liquor (which includes blended whiskey and rum), as well as Goa's trademark drink — feni. Beer lovers will now have to spend Rs. 5-15 more, while feni's price might shoot up by Rs. 100-200.
Was careful to not burden the common man: Sawant
Sawant also hiked conversion fees under the Land Revenue Code and increased stamp duty for affidavits to Rs. 100 from Rs. 50. Though taxes have been increased, precaution has been taken that the common man doesn't feel burdened, Sawant said in the Assembly. Officials believe the revised excise duties will generate a revenue of Rs. 100 crore, while other taxes will yield Rs. 150 crore.
Goa CM wants to transform state into "educational hub"
Sawant chose against announcing new projects but spoke about diversifying from traditional sectors. He revealed his plans of making the sought-after tourist destination an "educational and health hub". Goa Human Resource Development Corporation was ordered to implement an "apprentice scheme" for college students and graduates. Another major announcement was that a "Goa Institute of Future Transformation" will be set up, following NITI Aayog's model.
Goa suffers from a cash crunch problem, said Sawant
Goa suffers from a cash crunch, underlined Sawant. He said 36.9% of the state's earnings go towards salaries, wages, pension, etc., subsidies take up to 2% of the income, and 12.7% is used for repaying debt. As he presented the "revenue surplus" budget that had an outlay of Rs. 21,056.35 crore, Sawant said he wants to take GSDP to Rs 1L crore by 2021.
Chamber of Commerce didn't agree with Sawant's budget
The revised taxes, however, weren't welcomed by all, with the strongest protest being registered by the Goa Chamber of Commerce and Industry. Manoj Caculo, the body's president said, "The increase in license fees for liquor outlets will affect tourism. While real estate is already under stress, increase in land rates and the corresponding increase in stamp duty will result in hiking real estate prices."
Congress leader dismissed budget, Sawant said it's 100% realistic
Meanwhile, Digambar Kamat of the Congress, who is the leader of opposition too, said the budget was meant to fool people. "Wondering how wonders will happen, as the budget figures are wandering away from the real facts. The budget is full of promises is to fool the people of Goa," he tweeted. Undeterred by criticism, Sawant said the budget was "100% implementable and realistic".
