Consumers can expect to pay more for auto fuels and liquor in coming days as more and more states are expected to target these for increasing their revenue which has been severely hit by Covid-19 outbreak and subsequent lockdown.
Sources in the Central and State Governments said that as the two segments (petroleum products and liquor) remain outside the purview of GST, taxes on it could be easily raised by the State Governments through a notification.
Taxes on petrol and diesel and liquor comprise almost 40-50 per cent of state revenues. Any increase in taxes on these items would boost a state’s coffers at a time when over a month of lockdown
