J&K admn withdraws ‘corona tax’ on liquor

JAMMU: The Jammu and Kashmir administration on Tuesday withdrew the additional excise duty of 50% levied on liquor after the outbreak of Covid-19 as a new excise policy for the remainder of 2020-2021 financial year came into force in the Union territory, a senior government officer said.

Excise commissioner Rajesh Kumar Shavan said the new policy for the first time provides for reservation of 12% to six categories of people, including ex-servicemen, those belonging weaker sections and unemployed youths, in opening bars and restaurants at tourist destinations across the UT.

“The additional 50% excise duty on liquor (which was levied in May), commonly known as corona tax, has been withdrawn

from today after the implementation of the new excise policy,” Shavan told reporters here.

He highlighted various features of the policy and said it focused on transparency in the liquor trade, besides boosting revenues through rationalization of duties.

In the policy objectives, the government notification among other things said it was meant to rationalise the number of taxes, duties and other levies to optimize revenues for common good and check bootlegging or smuggling of bottled in origin (BIO) brands in the UT from outside.

It said the objective is also to provide choice of brands and adequate places for consumption to its consumers and a level-playing field to those in this business. To encourage unemployed youths, the excise commissioner said special concession on license fee would be given to those who wish to open bars and restaurants at tourist places, including Gulmarg, Pahalgam and Sonmarg, Mansar and Kishtwar.