Delhi: No hike in excise duty, but minor increase in licence

In good news for tipplers in Delhi, the AAP government has decided not to hike the excise duty for the current financial year.
The decision was taken today at a Cabinet meeting presided by Chief Minister Arvind Kejriwal during which a new excise policy was also approved containing several new points, including one prescribing a minor increase in licence fees.
"The government has decided not to increase the excise duty this year as it was enhanced substantially in the last two financial years," said a senior official.
The official said that the government has also decided to do away with the present renewal system of excise licences for hotels, clubs and restaurants.

"The government will do away with the present renewal system of excise licences for hotels, clubs and restaurants. Merely upon payment of a prescribed annual fee, the licences will be allowed to continue.
"This step will relieve the licencees from the hassle of making rounds of the department to seek renewal after furnishing various kinds of NOCs.

"From this year onwards, only if any adverse report is received from other departments and on non-payment of fees/ violation of licence terms and conditions, would the licencee be proceeded against by the department," the official said.
The government, however, has decided to increase the fee for licences in different categories, including for pub and bar licences, from around 20 to 30 per cent, the official said.

Apart from that, in order to curb the inflow of low quality economy brands of liquor in Delhi, the government has decided to enhance the sale verification limit of such brands from the existing requirement of sale of 60,000 cases (including sale in Delhi) to 80,000 cases (excluding sale in Delhi).
"This will allow only the well-established economy brands to get registered in Delhi and will facilitate the availability of quality liquor here," the official added.