Alcohol prices saw a steep rise after the Rajasthan government imposed a 20% surcharge for cow protection on all varieties of liquor sold in the state. The cess is in addition to the 20% surcharge on stamp duty for the same cause.
The order issued by the state finance department does not mention the reason behind the step but the government has asked the department to use the surcharge only for cow protection. “The state government hereby notifies that the surcharge at the rate of 20% shall be levied and collected on the amount of tax or any sum in lieu of tax payable on the sale of foreign liquor, Indian made foreign liquor, country liquor and beer sold by the dealers registered under the provisions of the Rajasthan Value Added Tax Act 2003 with effect from July 23, 2018,” the order read. In her budget speech last year, Chief Minister Vasundhara Raje had proposed surcharge for development of basic infrastructure facilities and protection and propagation of cows.