NEW DELHI : Struggling with low revenues during lockdown, several states have increased taxes on alcohol and fuel during lockdown.
In Delhi, the Arvind Kejriwal government not only imposed a 70% 'Special Corona Fee' on liquor but also raised value added tax (VAT) on both petrol and diesel.
As a result, petrol price in the national capital was hiked by ₹1.67 a litre on Tuesday and diesel by a steep ₹7.10 per litre.
With the hike in VAT on auto fuels, the Delhi government expects to raise an additional over ₹900 crore annually. 10 things to know about tax hikes on liquor and fuel: 1) While fuel was always kept out of the purview of lockdown as an essential commodity, liquor sale is being allowed in some areas only since yesterday. 2) In