State mulls restructuring of duty structure imposed on liquor

Kolkata: The state government is strongly contemplating for completely restructuring the "duty structure" imposed on liquor.

According to the sources in the state Excise directorate, the notification in this regard is going to be issued soon as "it has been restructured completely". It may bring a change in the liquor price.

It is learnt that the state-owned West Bengal State Beverages Corporation Limited (BevCo) has issued directives urging all licensee dealers not to "prepare any indent for lifting of foreign liquor from September 1 to 10". It will not be cancelled or withdrawn and the money will not be adjusted with further purchase in case any licensee places the same in this time period.

Sources said that the move is an outcome of the step taken by the state government in restructuring the "duty structure" and the possibility of a drop in the price of liquor in the state for the same has not been ruled out.

It may be mentioned that the price of liquor went up after the shops reopened after remaining closed due to the lockdown as the state government had increased the sales tax on Indian made foreign liquor (IMFL) and country made liquor from zero to 30 percent from April 9.

Subsequently, the revenue generation through excise had dropped to Rs 350 crore a month in May and June in post-COVID situation.

Usually the Excise revenue generation used to be Rs 950 crore a month at normal time. According to the experts, restructuring of the "duty structure" would leave a positive impact on the revenue generation as well.

Meanwhile, the permission of serving liquor at restrobars from September 1 is depending on the guidelines to be issued by the government.