Delhi govt to withdraw ‘special corona fee’ on liquor from June 10

The Delhi government has decided to withdraw the ‘special corona fee’ levied of 70% of the maximum retail price on all categories of liquor. The withdrawal will come into effect from June 10, news agency ANI reported.

The fee was approved by Delhi’s Lieutenant Governor Anil Baijal last month and a notification was later issued by the Delhi government’s finance department.(Santosh Kumar/Hindustan Times)

The fee was approved by Delhi’s Lieutenant Governor Anil Baijal last month and a notification was later issued by the Delhi government’s finance department.

Senior government officials had said that the lockdown since March 25 to prevent the spread of Covid-19 cost the Delhi government around Rs 645 crore in revenue from the sale of alcohol, when calculated on the basis of revised estimates in the 2019-20 state budget.

The decision was taken to boost the government revenue but had resulted in a steep rise in the prices of retails liquor bottle.

The special corona fees came into effect as the liquor shops opened in the national capital in accordance with the lockdown relaxations given by the Union home ministry.

The liquor sale was allowed in Delhi from May 4. It was closed since the lockdown was imposed on March 25.

On the first day of sale, when the special cess was not imposed, liquor worth over Rs five crore was sold, as per the Excise Department data. The Delhi government imposed a special fee from May 5.

Four government corporations - Delhi Tourism and Transportation Development Corporation; Delhi State Industrial and Infrastructure Development Corporation; Delhi State Civil Supplies Corporation Limited; and Delhi Consumer’s Cooperative Wholesale Store - control the sale of liquor in the city-state.