Delhi government’s revenue collection from sale of liquor has recorded an impressive 19% growth in the first six-and-half months of the current fiscal compared to the corresponding period in 2010-11.
The government has collected Rs 1,248 crore as excise tax between April one and October 19 against its collection of Rs 1,049 crore in the same period during 2010-11.
In its annual budget, the government had estimated a collection of Rs 300 crore from sale of liquor in the current fiscal and revenue department officials said they are confident of surpassing the target.
“We had made it mandatory to have bar coding on liquor bottles as part of measures to plug the loopholes in the revenue generation system. It has paid dividends,” said an official of the revenue department.
The government had collected Rs 2,027 crore as excise tax in the year 2010-11 as against its collection of Rs 1,644 crore in the year 2009-10.
The officials said collection of luxury tax has also gone up significantly as a total of Rs 135 crore was collected between April one and October 19
this year against around Rs 90 crore in the same period during 2010-11.
The government had set a target of Rs 280 crore as revenue from entertainment tax in the current fiscal.
Similarly, collection of entertainment tax has also surged by Rs 13 crore in the first six-and-half months. A total of Rs 47 crore was collected as entertainment tax against Rs 34 crore in the corresponding period last year.
In the budget, the government had estimated a collection of Rs 58 crore from entertainment tax in 2011-12. The revenue collection through the sale of liquor has seen a significant rise in the past nine years as the government’s total collection from it in 2000-01 was just Rs 560 crore.
In 2001-02, the collection rose to Rs 606 crore while in 2002-2003, the government earned Rs 725 crore through sale of liquor.
Excise tax, which constitutes over 10% of the city government’s total annual revenue collection, had registered an impressive growth in 2005-06 as a total of Rs 1,015 crore was collected in that fiscal.
The upward trend in excise collection continued as the government collected Rs 1,147 crore and Rs 1,295 crore in 2006-07 and 2007-08 respectively.