The Delhi government is expected to earn Rs 10,000 crore from bidding of liquor shops under the new excise policy, Deputy Chief Minister Manish Sisodia said on Wednesday.
"Earlier, there was large-scale theft of excise revenue in Delhi, for which many steps were taken. Compared to liquor consumption in Delhi, the revenue was very less. Under the new excise policy, the licence fee was adopted to prevent the evasion of excise duty and value-added tax (VAT)," Manish Sisodia said.
He added that the government has earned 23 per cent less revenue in the current financial year.
“We will get Rs 10,000-crore revenue from bidding of liquor shops under the new excise policy. We have received nearly 225 bids for 32 zones of the city. The one with the maximum bid will get a chance. This will be around Rs 3,500 crore extra revenue from what we got in 2019-20. In 2019-20, the government had collected a revenue of Rs 6,300 crore from bidding of liquor shops,” Manish Sisodia said.
Manish Sisodia said the extra revenue results from reforms in the excise policy as earlier such revenue was stolen.
He also announced that new shops will start opening from November 17, and in the next 12 months, excise revenue will be more than Rs 3,500 crore.
"No new liquor shop has opened in Delhi after 2016. The pattern of liquor shops was such that there were 10 shops in one corporation ward and not a single shop in another corporation ward. In such a situation, illegal shops were running. There were 850 legal and about 2,000 illegal liquor shops running in Delhi. Taking strict action, 7 lakh bottles of liquor were seized in a year. 1,864 FIRs were registered, and 1,000 vehicles were also impounded. Despite the strictness, the liquor mafia was active," the Deputy CM said.
With the new policy, the experience of selling alcohol in Delhi will change, said Manish Sisodia.
"Now the experience of selling liquor in Delhi will change. Counters will have to be installed inside the shop and the area of the shop will be 500 feet. Apart from monitoring and installing the CCTV, it will also be the responsibility of the liquor shop operator to stop drinking in the open," he said.
The Deputy CM said that the AAP-led Delhi government earned 41 per cent less revenue last year due to the Covid-19 pandemic.
“Due to the coronavirus-induced lockdown, economic activities are less so tax collection is low. Under VAT, the government earned 25 per cent less revenue in the current fiscal year, while in excise, it collected 30 per cent less revenue,” he said.
He added that collections in stamp duty and motor vehicle taxes are also down by 16 per cent and 19 per cent, respectively, for the current fiscal year.