Excise Revenue: Punjab Government Collection Exceeds Estimate | Chandigarh News

CHANDIGARH: After facing strong resistance from liquor dealers, the Punjab government has successfully sold all but one of the groups, keeping it on track to generate projected revenue for the fiscal year In progress.
The single group which includes sales at Chandigarh International Airport in Mohali remains unassigned due to a dispute involving two bidders.
The first excise policy of the Aam Admi party (AAP) led by Bhagwan Mann has come under scrutiny, with traders accusing the government of crafting the policy to monopolize trade. To exert pressure, traders went so far as to announce a boycott of the policy, staged statewide protests and the policy was also challenged in court, which made it difficult for the government to find takers. .
Despite this, the government managed to sell 176 groups out of 177 with 6,378 sales after winning over traders. In doing so, against the expected revenue of Rs 5,300 crore, the government is expected to collect 5,449 crore.
The actual revenue exceeded the estimate despite a reduction in the reservice price of 5% to 20% of the remaining groups auctioned at various stages. Additionally, an income of around Rs 1,900 crore was generated during the three-month extension of the previous policy. The government now hopes to mop up around Rs 1,500 crore from alcohol sales in SDR and foreign alcohol.
After the group allocation process in the first phase elicited a low response as bids were only received for around 22% of the groups, the government was forced to make changes to the policy to make it more attractive.
At the request of merchants, the government agreed to adjust the amount of the guarantee at the rate of 1% in the monthly installments that previously had to be repaid after the expiry of the policy. The royalty deposit payment schedule has been changed from the 10th to the 30th day of the month. The government has also increased the number of groups from three to five to be assigned to a single entity. The obligatory deposit of earnest money (EMD) condition via the online mode has also been removed.
Punjab Excise Commissioner Varun Rojam affirmed that the government is on track to earn almost Rs 9,000 crore which will be the highest collection ever in a fiscal year. “We initially faced many challenges which we were able to overcome in convincing traders of the benefits of the new policy,” said Roojam, who has held rounds of meetings with traders to break the deadlock. initial.
In the last financial year, revenue of Rs 6,254 crore was generated.