Kerala Home Minister Ramesh Chennithala 
Kerala

Minister Chennithala dismisses rift claims over tax cut proposal for low-alcohol beverages

Ramesh Chennithala dismissed reports of differences within the government over the budget proposal to reduce taxes on low-alcohol beverages

Thiruvananthapuram | Home Minister Ramesh Chennithala on Monday dismissed reports of differences within the government over the budget proposal to reduce taxes on low-alcohol beverages.

He said tax-related decisions in the budget are confidential and cannot be discussed in advance.

He was responding to reports that Excise Minister M Liju was not consulted by Chief Minister V D Satheesan before the announcement of the tax reduction on low-alcohol beverages in the budget.

Chennithala said that matters related to taxation in the budget are handled confidentially by the finance minister and that only the Chief Minister is involved in the process until the budget is presented.

"Here, the CM is also the finance minister. Decisions to increase or reduce taxes in the budget are confidential. If such matters are shared with others beforehand, it amounts to a budget leak," he told reporters.

The Congress leader said changes could be made to the proposal in the future if necessary.

"There can be discussions if any changes are needed. During the budget discussion, issues raised can be considered, and the government can take an appropriate decision," he said.

When asked why the matter was not discussed with the minister concerned, Chennithala reiterated that budget proposals cannot be disclosed in advance.

"The liquor policy is yet to be announced. But regarding tax proposals in the budget, you can ask anyone-they cannot be disclosed beforehand, as that would amount to a budget leak," he said.

Chennithala said he was not in favour of the sale of any liquor but clarified that the issue under discussion concerned a budget proposal.

"You asked about the budget proposal. It is a confidential document and is revealed only when it is presented in the Assembly. The government can decide to increase or decrease taxes, and those matters can be discussed after the budget is presented," he said.

The state government's proposal to reduce taxes on low-alcohol beverages has drawn criticism from various quarters, including some leaders within the Congress party.

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