Andhra Pradesh launches a revamped liquor policy, permitting private entities to sell IMFL and FL across 3,736 retail shops, starting October 12, 2024. (Photo by Manjunath Kiran / AFP)
VIJAYAWADA: The Andhra Pradesh government has announced a new excise policy for 2024-26, involving private persons/entities, to sell liquor through 3,396 shops from October 12 up to September 30, 2026.
These shops would function from 10 am to 10 pm. Revenue (excise) principal secretary Mukesh Meena issued GO 211 to this effect on Monday night.
Private persons/entities are given the privilege of selling Indian Made Foreign Liquor and Foreign Liquor through their shops.
Some 3,396 shops out of a total 3,736 shops fixed for issue of licence will be in the open category while 340 shops are reserved for allocation to the 'Geetha Kulalu.'
"Applications are invited from the public to take part in the selection process. Applications can be filed online or offline in prescribed form for grant of shop licence for the period 12-10-2024 to 30-09-2026," the GO said.
The selections will be done by draw of lots. An applicant can participate in the selection process for more than one shop. There is no restriction on the number of shop licences a person can hold.
The non-refundable application fee for each application for each shop is Rs 2 lakh. The retail excise tax is fixed in four slabs based on the size of the population in a city/town per annum - Rs 50 lakh for a population up to 10,000, Rs 55 lakh for a population up to 50,000, Rs 65 lakh for a population above 50,000 and Rs 85 lakh for a population above five lakh.
The retail excise tax will be increased by 10 per cent for the 2025-26 fiscal. The RET per annum can be paid in six equal advance instalments in 2024-26. The licensee should submit a bank guarantee equal to one installment of RET of 2024-25 within 30 days from the date of selection.
The selected applicant will be permitted to set up shop anywhere in a notified unit like municipal corporation, municipality, nagar panchayat or mandal. The retailer margin will be 20 per cent on issue price on IMFL, FL, beer, wine and ready-to-drink alcohol beverages.
In addition, 12 premium store licences will be issued. Such stores can be set up in cities like Vijayawada, Visakhapatnam, Rajamahendravaram, Kakinada, Guntur, Nellore, Kurnool, Kadapa, Anantapur or any other city notified by the state government.
The licence for premium stores will be allotted for five years, subject to a payment of RET of `1 crore per annum.
No shop will be permitted to be set up on the road from Tirupati railway station to Alipiri via RTC bus stand and other centres.
With regard to pricing and taxation, the state government plans to introduce low-priced liquor at `99 or less while maintaining quality. It intends to encourage national suppliers to supply reputed national brands of liquor.
An aim is also to simplify the tax structure to reduce the number of tax heads to six from 10. The new tax heads are: excise duty, retail excise tax,
value added tax, special margin, additional retail excise tax and rounding off prices.
The state government also intends to introduce a new cess at two per cent on landed cost. This cess will be dedicated to funding narcotics control, de-addiction measures/centres, counselling etc to ensure these public services receive the necessary financial support for their effective operations.
Private persons/entities are given the privilege of selling Indian Made Foreign Liquor and Foreign Liquor through their shops.
Some 3,396 shops out of a total 3,736 shops fixed for issue of licence will be in the open category while 340 shops are reserved for allocation to the 'Geetha Kulalu.'
"Applications are invited from the public to take part in the selection process. Applications can be filed online or offline in prescribed form for grant of shop licence for the period 12-10-2024 to 30-09-2026," the GO said.
The selections will be done by draw of lots. An applicant can participate in the selection process for more than one shop. There is no restriction on the number of shop licences a person can hold.
The non-refundable application fee for each application for each shop is Rs 2 lakh. The retail excise tax is fixed in four slabs based on the size of the population in a city/town per annum - Rs 50 lakh for a population up to 10,000, Rs 55 lakh for a population up to 50,000, Rs 65 lakh for a population above 50,000 and Rs 85 lakh for a population above five lakh.
The retail excise tax will be increased by 10 per cent for the 2025-26 fiscal. The RET per annum can be paid in six equal advance instalments in 2024-26. The licensee should submit a bank guarantee equal to one installment of RET of 2024-25 within 30 days from the date of selection.
The selected applicant will be permitted to set up shop anywhere in a notified unit like municipal corporation, municipality, nagar panchayat or mandal. The retailer margin will be 20 per cent on issue price on IMFL, FL, beer, wine and ready-to-drink alcohol beverages.
In addition, 12 premium store licences will be issued. Such stores can be set up in cities like Vijayawada, Visakhapatnam, Rajamahendravaram, Kakinada, Guntur, Nellore, Kurnool, Kadapa, Anantapur or any other city notified by the state government.
The licence for premium stores will be allotted for five years, subject to a payment of RET of `1 crore per annum.
No shop will be permitted to be set up on the road from Tirupati railway station to Alipiri via RTC bus stand and other centres.
With regard to pricing and taxation, the state government plans to introduce low-priced liquor at `99 or less while maintaining quality. It intends to encourage national suppliers to supply reputed national brands of liquor.
An aim is also to simplify the tax structure to reduce the number of tax heads to six from 10. The new tax heads are: excise duty, retail excise tax,
value added tax, special margin, additional retail excise tax and rounding off prices.
The state government also intends to introduce a new cess at two per cent on landed cost. This cess will be dedicated to funding narcotics control, de-addiction measures/centres, counselling etc to ensure these public services receive the necessary financial support for their effective operations.
( Source : Deccan Chronicle )
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