Latest news with #AdditionalExciseDuty
New Indian Express
28-05-2025
- Business
- New Indian Express
Tipplers feel pinch as liquor prices hiked in Puducherry after steep increase in excise duty
PUDUCHERRY: Tipplers in the Union Territory will now have to shell out more for their drink as liquor prices across all categories—Indian Made Foreign Liquor (IMFL), beer, and wine—have gone up, following a steep hike in Excise Duty (ED) and Additional Excise Duty (AED). The revised rates, notified by the Department of Revenue and Disaster Management (Excise), came into effect on Wednesday. This is the first hike in excise duties since July 2019. As per the official notification, the ED for cheaper and ordinary IMFL brands (with a declared price below ₹600 per case) has been raised from ₹100 to ₹110 per proof litre. For medium and premium brands (priced at ₹600 or above per case), the ED has increased from ₹115 to ₹125 per proof litre. The ED on wine has risen from ₹25 to ₹30 per bulk litre, while for beer, the rate has gone up from ₹10 to ₹12 per bulk litre. AED slabs have also been revised with a rationalization of slabs. The new AED rates for IMFL range from ₹85 to ₹325 per proof litre. For beer, it ranges between ₹33 and ₹42 per bulk litre, while for wine, it spans from ₹50 to ₹145 per bulk litre.
Hindustan Times
01-05-2025
- Business
- Hindustan Times
Beer to get costlier in Karnataka as state hikes excise tax third time in two years
Beer prices in Karnataka are set to rise following the state government's decision to increase the tax on beer to 205% of the manufacturing cost, up from the earlier 195%. The revised rates are part of new draft rules issued by the state, which also include a 10% hike in the Additional Excise Duty (AED). Also Read - HD Kumaraswamy calls caste census move 'historic', hails PM Modi's decision According to reports, this revision is expected to push the price of premium or imported beer brands up by around ₹10 per bottle, depending on their production cost. More affordable, local or mid-range beers are likely to see a smaller price bump, below ₹5 per bottle. Actual price changes will vary across brands. With this move, the government has also abolished the earlier dual taxation system. Previously, cheaper beers were taxed at ₹130 per litre, while higher-end options were taxed based on a percentage of the manufacturing cost. Now, a single tax slab of 205% will apply uniformly to all beer brands, regardless of their market segment. Officials say this step is aimed at simplifying the tax structure. Also Read - Nigerian woman found dead in Bengaluru outskirts, police suspect murder: Report This is the third increase in beer taxation in last two years. In July 2023, the newly elected Congress government raised the AED from 175% to 185%. That was followed by another revision in January 2025, where the AED went up to 195% or ₹130 per bulk litre, whichever was higher. Alongside AED changes, the base excise duty was also altered earlier. The government introduced a tiered system based on alcohol strength, replacing the previous flat rate. Under this rule, beer with up to 5% alcohol by volume (ABV) attracts a duty of ₹12 per bulk litre, while stronger beer with 5–8% ABV is taxed at ₹20 per litre.
India Today
30-04-2025
- Business
- India Today
Beer prices hiked again in Karnataka with 10% additional excise duty
Beer prices in Karnataka are set to rise after the government increased the tax on all beer to 205% of the manufacturing cost, up from 195%. An additional 10% have also been added to the Additional Excise Duty (AED), according to the state's new draft or niche beer brands may see a rise of about Rs 10 per bottle, depending on manufacturing costs. For mid-range and cheaper local beers, the increase is expected to be less than Rs 5 per bottle. The exact price hike will vary by Karnataka had a dual tax system: lower-end brands were taxed at Rs 130 per litre, while others faced a percentage-based rate. This system has now been scrapped in favour of a single 205% tax applied uniformly to all beers. The move is aimed at simplifying the tax structure. With the lower tax tier removed, all beer brands — regardless of category — will now be taxed at the same marks the third tax hike on beer in the last three years. In July 2023, the newly elected Congress government raised the AED from 175% to 185%. Another revision came into effect on 20 January 2025, increasing the AED to 195%, or Rs 130 per bulk litre, whichever was the same time, the base excise duty was also revised. Instead of a flat rate, a tiered system based on alcohol content was introduced: Rs 12 per bulk litre for beer with 5% or less alcohol by volume (ABV), and Rs 20 per litre for beer with 5-8%
