Chandigarh, June 1: Liquor prices are set to turn costlier in Punjab as the state government announced an additional excise duty and assessed fee in lieu of the 'COVID cess' on alcohol. The hike would come into effect from June 1, said Punjab Chief Minister Amarinder Singh. The prices would go upto Rs 50 depending on the type and quantity of the liquor item. Liquor Sales in Telangana: KCR Govt Aims to Earn Rs 375 Crore in Revenue From Alcohol Business Amid COVID-19 Lockdown.
The cess on liquor product comes nearly a month after alcohol sale was resumed in the state. The additional excise duty will contribute in the government's efforts to refill the coffers which have been severely depleted amid the coronavirus crisis.
The amount collected through COVID cess would, however, be used only for expenditure related to combating COVID-19, clarified the Punjab CM. "The amount collected will be utilised for COVID-19 related expenditure," he said.
"We've decided to levy additional excise duty and assessed fee in lieu of COVID Cess on liquor with effect from 1 June. These would range from Rs2 to Rs 50 depending on type and size of the item," Singh further added.
Update by ANI
We've decided to levy additional excise duty&assessed fee in lieu of COVID Cess on liquor with effect from 1June. These would range from Rs2 to Rs 50 depending on type& size of the item. The amount collected will be utilised for #COVID19 related expenditure: Punjab CM
(file pic) pic.twitter.com/6Sfnqx9COq
— ANI (@ANI) June 1, 2020
A similar liquor cess was announced last month by the governments of Haryana, Puducherry and Delhi. Nationwide, alcohol demand soared widely after the government relaxed lockdown norms and allowed the home delivery and - in some states - over the counter purchase of liquor.