Be ready to shell out more for liquor in Haryana from April 1 | punjab$dont-miss | Hindustan Times
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Be ready to shell out more for liquor in Haryana from April 1

Liquor will become costlier in Haryana from April 1 as the BJP government on Wednesday decided to increase the value-added tax (VAT) and excise duty on the sale of liquor while unveiling the excise policy for 2016-17.

punjab Updated: Mar 02, 2016 20:35 IST
HT Correspondent
In the new policy, the VAT on liquor has been increased from 8% to 10% and the excise duty has also been hiked for different categories of liquor.
In the new policy, the VAT on liquor has been increased from 8% to 10% and the excise duty has also been hiked for different categories of liquor.(HT Photo)

Liquor will become costlier in Haryana from April 1 as the BJP government on Wednesday decided to increase the value-added tax (VAT) and excise duty on the sale of liquor while unveiling the excise policy for 2016-17.

The fresh policy was approved at a cabinet meeting headed by chief minister Manohar Lal Khattar.

In the new policy, the VAT on liquor has been increased from 8% to 10% and the excise duty has also been hiked for different categories of liquor. However, the excise duty for draught beer and ready-to-drink beverage remained unchanged. The BJP regime had in 2015 doubled the rate of VAT on liquor to 8% from 4% in a bid to garner more revenue from liquor sale.

ONLINE PASSES

The government in its new excise policy has introduced the facility of online passes and permits for transportation of liquor. The minimum retail price of popular Indian-made foreign liquor (IMFL) and beer brands has been rationalised as per market trends, an official spokesperson said. E-tendering of liquor vends will continue and has been made more user-friendly.

NO CHANGE IN NUMBER OF VENDS

The total number of retail outlets of country liquor (CL) and IMFL will remain unchanged at 3,500. Sub-vends will be allowed in gram panchayats with less than 1,000 population only with the prior consent of the panchayat. Modern shops with good facilities for customers and machine generated point of sale would be encouraged and their number would also be increased. Maximum basic quota has been increased after 2010-11. For country liquor, basic quota has been increased from 900 lakh proof litre to 950 lakh proof litre and that of IMFL from 500 lakh proof Litre to 550 lakh proof litre.

ADDITIONAL EXCISE DUTY INCREASED

The additional excise duty for country liquor has been increased from Rs 12 per proof litre to Rs 18 per proof litre and that of IMFL from Rs 30 per proof litre to Rs 45 per proof litre. The licence fee of wholesale vend has been increased. In case of L-13, it has been increased from Rs 5 lakh to Rs 10 lakh and for L-1, from Rs 40 lakh to Rs 50 lakh. The export duty too has been increased as per growth potential to maximize revenue. Franchise fee and bottling fee have also been rationalised to take care of existing market trends. The fee structure for bar licences has also been rationalised and re-oriented as per market trends and opportunities. Bars in banquet halls have been allowed for L-2 licences in rural areas.