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Rediff.com  » Business » Delhiites to pay more for imported liquor

Delhiites to pay more for imported liquor

Source: PTI
June 12, 2009 11:33 IST
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Boozers fond of custom-made liquor will now have to shell out more for their favourite brands with the Delhi government imposing duty on high-end spirits.

According to a notification issued recently by the state government, local tax on imported liquor costing above Rs 2,000 per bottle will be at the rate of 30 per cent while those sold below Rs 2,000 will attract a tax of 20 per cent.

Earlier, the local tax on imported whisky, wines and beer was a flat Rs 300, Rs 150 and Rs 30 per bottle respectively.

A senior excise department official told PTI that the decision was pending since September 2007 when additional excise duty was removed on imported liquor in the city as it was violating WTO norms.

"After that the Centre had asked us to arrive at the levy which is at the equivalent to the other states as well the international market," the official added.

However, as the hike is in the high-end segment which mainly caters to the elite class of the society, the sale of the imported brands is not likely to be effected, he said.

Last year, the excise department had earned revenue of Rs 17 crore (Rs 170 million) through sale of wine and spirits.

Delhi is said to be the largest market for imported wine and spirits after Mumbai in the country.

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