Cigarettes and other tobacco smoking products would be dearer with the government increasing the rate of tax from the existing 20 percent to 27 percent.

Presenting a Rs 819 crore deficit budget for 2015-16 in the state assembly on Wednesday, Chief Minister Mukul Sangma, who also holds the finance portfolio, said he proposed 7 percent tax hike on tobacco products, 40 percent cess on cement products, 1 percent hike in diesel and withdrawal of 50 percent exemption of Rs 1.13 per litre on petrol.

He has accorded highest importance to the education sector allocating Rs 681.88 crore, followed by creation of infrastructure like roads and bridges, for which Rs 555.20 crore has been allocated, while Rs 380.50 crore has been provided for the health and family welfare department.

In order to support the primary education, Sangma introduced a cess of Rs 20 per metric tonne on clinker besides enhancing cess rate on limestone from Rs.20 to Rs 40 per metric tonne and some other raw materials.

Latest News from State News Desk