Assam govt to reduce excise taxes on IMFL to check smuggling

Sarbananda Sonowal led state government is likely to raise the issue in the next cabinet meeting.

Assam excise minister Parimal Suklabaidya on Thursday said that, we are going to reduce the excise taxes in Assam and it will help to reduce the prices of IMFL.

"Smuggling of IMFL from neighbouring states like Arunachal Pradesh, Meghalaya are continued to Assam, where the prices are less. Due to this, the state government loses huge revenue collection every year. We are considering to reduce the excise taxes in comparison with the neighbouring states, which will help to check the revenue losses," Parimal Suklabaidya said.

The senior BJP leader representing Barak Valley took charge of the excise department only a year back and said that the issue has been discussed in the government level following the Jindal committee recommendations.

"The proposal awaits for cabinet approval and are likely to be raised in the next cabinet meeting," Suklabaidya said.

Meanwhile, a top source of the Assam government said that, the state government faces around Rs 250 crore revenue losses every year due to IMFL smuggling from the neighbouring states.

The minister said that the revenue collection of the department has gradually increased as excise revenue has gone up by over Rs 150 crore in fiscal 2016-17 compared to 2015-16.

The Assam excise minister said that his target is to increase the revenue collection to around Rs 1400 crore in the current fiscal.

The minister also said that, the department has taken several initiatives to reduce corruption, smooth functioning.

(Reporting by Hemanta Kumar Nath)