350 new liquor shops in TS under Excise Policy 2021-23

There are around 2,216 shops under the existing liquor policy 2019-2021 which will expire on 30 November.

The current excise policy ended on 31 October but the government extended it by a month after considering the loss incurred by dealers during the COVID-19 lockdowns. Excise and prohibition director Sarfraz Ahmed held a video conference with deputy commissioners, joint commissioners, assistant commissioners, and superintendents on Saturday where he informed the officials about the new policy.

The number of shops will be increased in pockets that reported high sales during the license period 1 November 2019 to 31 October 2021. The government recently decided to implement 15% reservations for Backward Classes, 10% for Scheduled Castes, and five per cent for Scheduled Tribes in allotment of liquor shops as part of the new policy.

The allotment will be done by draw of lots. There will be no change in non­refundable application money of Rs. 2 lakh and the license fee. The retailer margin after crossing the benchmark turnover has been increased from 6.4% to 10 %. The benchmark turnover which was earlier seven times the annual license fee has been increased to ten times. The privilege tax will be collected at 10% on the turnover. Eligible applicants have to submit 25 per cent of the amount as the excise tax for one year. Eligible applicants have to pay the full amount on the same day of the drawing of lots. Applicants can make payments in six installments in which payments must be done every two months.

The government comes out with a new excise policy every two years. Under the new excise policy, the government will issue licenses to dealers to run liquor shops for a period of two years.