Karnataka Amends Excise Fees Amid Liquor Sellers' Protest

In a surprising turn of events, the Karnataka government has decided to revise its initially proposed plan to double the excise license renewal fees following vehement opposition from liquor sellers. The new plan, which increases the fees by 50% instead of the original 100%, comes as a relief to the industry.

The change follows a meeting between representatives of liquor sellers, including members of the Karnataka Liquor Sellers' Association, and Chief Minister Siddaramaiah, who agreed to the more moderate fee increase after reviewing objections. The long-awaited revision extends the license renewal period from one year to five years.

Effective from July 1, the revised fees vary by the population of the area, with metropolitan corporations paying the highest at Rs 9 lakh annually. The move not only eases the burden on over 13,000 license holders but is also expected to generate Rs 300 crore in additional annual revenue, marking the first fee hike since 2016.

(With inputs from agencies.)