Liquor ban: Excise dept fears 40% revenue loss

Liquor ban: Excise dept fears 40% revenue loss

171 liquor shops on highways closed in dist; only six relocated

The district Excise department may lose 40% of the revenue as compared to last year, as a large number of liquor shops, situated close to highways, have not been relocated as per the direcions issued by the Supreme Court.

Out of 493 shops across the district, as many as 171 liquor shops have been closed on June 30 following the apex court order banning sale of liquor within 500-metre and 220-metre radius from the national highways and state highways respectively. Only six of them have been relocated.

Deputy Commissioner for Excise Jagdish Naik told DH, if the owners of the shops do not renew the licence in a month, the department would face 30% - 40% loss in the revenues. “If the shop owners fail to relocate their business, their licence for the year 2017-18 would not be renewed, as the Excise year concludes on June 30 and begins on July 1. The owners can get their licence renewed only after fulfilling the norms,” the DC said.

According to sources, the Excise revenue in the district was Rs 62.23 crore in the year 2016-17.

It may be mentioned that a majority of the shops are closed in Mysuru taluk, followed by Nanjangud and Periyapatna taluks. While 52 shops have been closed in Mysuru, 25 each in Nanjangud and Periyapatna have been closed following the apex court order.

The Excise generates revenue mainly from the sources such as excise duty, additional excise duty and licence fee on Indian made liquor, beer and wine. Revenue from alcohol-based chemical industries, fines imposed as penalties, fees and amount realised by confiscation of articles are the other major sources of revenue for the department. In addition, the Excise department also generates revenue under Medicinal and Toilet Preparation Act.

The very objective of the department is optimisation of Excise revenue, while preventing the use of illegal and unsafe liquor, and to ensure informed consumption in hygienic conditions. The department also holds the responsibility of implementing state Excise policies and procedures by regulating manufacture, transport, possession, sale and other activities of the trade in spirit, spirituous preparations, potable liquor and other intoxicants, and monitoring and collection of associated taxes.

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