# Karnataka ABV tax reform drives 50% sales jump for United Breweries

2026-08-08T07:40:22+00:00 | Governance | Indian Opinion Desk

Corroboration: 1 independent outlet

United Breweries (UBL) sales surged over 50% in some months after Karnataka switched to an alcohol-by-volume (ABV) based tax system for beer. The reform taxes beer on alcohol content rather than price, making stronger brews cheaper. UBL, India’s largest beer maker, said the model could be adopted by other states. The Karnataka government introduced the change to rationalise duties and curb tax evasion. UBL says the shift has boosted demand and improved compliance. The company’s growth in the state has outpaced the national trend.

## Coverage

- ndtvprofit.com <https://www.ndtvprofit.com/business/united-breweries-q1-earnings-concall-karnataka-tax-reform-turns-helps-beer-sales-boom-11882533>

Tags: ABV tax, beer, Karnataka, liquor regulation, state fiscal policy, United Breweries
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