<p>Karnataka Chief Minister H D Kumaraswamy on Thursday announced a hike in the prices of petrol and diesel by Rs 1.14 per litre and Rs 1.12 per litre respectively to mobilise resources for the Rs 34,000-crore farm loan waiver.</p>.<p>In his 2018-19 Budget presented in the Karnataka Legislative Assembly, the Chief Minister also announced a hike in additional excise duty on all brands of Indian-Made Foreign Liquor (IMFL) by 4%. A crop loan of up to Rs 2 lakh availed by the farmers will also be waived.</p>.<p>As part of his Additional Resources Measure Scheme to fund the loan waiver, Kumaraswamy, who also holds the Finance portfolio, increased the tax on consumption of electricity from 6% to 9%. Private vehicles will now cost more as the Chief Minister has increased motor vehicle tax by 50% based on square metre floor area.</p>.<p>Kumaraswamy was under immense pressure to waive farm loans. Faced with financial constraints, he resorted to hiking sales tax on fuel and liquor.</p>.<p><strong>Read Also</strong></p>.<p><strong><a href="http://www.deccanherald.com/state/siddaramaiah-not-happy-hdk-s-676877.html" target="_blank">Siddaramaiah not happy with HDK’s full budget</a></strong></p>.<p><a href="https://www.deccanherald.com/opinion/first-edit/hdk-s-budget-shun-populist-temptation-673696.html" target="_blank"><strong>HDK’s budget: shun populist temptation</strong></a></p>.<p><a href="https://www.deccanherald.com/opinion/first-edit/give-farmers-pricing-power-not-678588.html" target="_blank"><strong>Give farmers pricing power, not waiver</strong></a></p>.<p><a href="http://www.deccanherald.com/state/cm-siddaramaiah-budget-fight-677112.html" target="_blank"><strong>CM-Siddaramaiah budget fight escalates</strong></a></p>
<p>Karnataka Chief Minister H D Kumaraswamy on Thursday announced a hike in the prices of petrol and diesel by Rs 1.14 per litre and Rs 1.12 per litre respectively to mobilise resources for the Rs 34,000-crore farm loan waiver.</p>.<p>In his 2018-19 Budget presented in the Karnataka Legislative Assembly, the Chief Minister also announced a hike in additional excise duty on all brands of Indian-Made Foreign Liquor (IMFL) by 4%. A crop loan of up to Rs 2 lakh availed by the farmers will also be waived.</p>.<p>As part of his Additional Resources Measure Scheme to fund the loan waiver, Kumaraswamy, who also holds the Finance portfolio, increased the tax on consumption of electricity from 6% to 9%. Private vehicles will now cost more as the Chief Minister has increased motor vehicle tax by 50% based on square metre floor area.</p>.<p>Kumaraswamy was under immense pressure to waive farm loans. Faced with financial constraints, he resorted to hiking sales tax on fuel and liquor.</p>.<p><strong>Read Also</strong></p>.<p><strong><a href="http://www.deccanherald.com/state/siddaramaiah-not-happy-hdk-s-676877.html" target="_blank">Siddaramaiah not happy with HDK’s full budget</a></strong></p>.<p><a href="https://www.deccanherald.com/opinion/first-edit/hdk-s-budget-shun-populist-temptation-673696.html" target="_blank"><strong>HDK’s budget: shun populist temptation</strong></a></p>.<p><a href="https://www.deccanherald.com/opinion/first-edit/give-farmers-pricing-power-not-678588.html" target="_blank"><strong>Give farmers pricing power, not waiver</strong></a></p>.<p><a href="http://www.deccanherald.com/state/cm-siddaramaiah-budget-fight-677112.html" target="_blank"><strong>CM-Siddaramaiah budget fight escalates</strong></a></p>