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Proactive Approach in Excise Policy 2015-16 May Bring More Revenue to Haryana

The Haryana government led by Mr. Manohar Lal Khattar is all set to announce its New Excise Policy for the year. 2015-16, it will be the first public policy document by BJP government in Haryana after taking over the charge of state affairs of Haryana.

The New Excise Policy for the year. 2015-16 will manifest the real intention and determination of Khattar government for good governance; whether it will follow the footsteps of Mr. Bhupinder Singh Hooda led congress government, who allow under carpet support to liquor manufacturing companies in the name of abolishing the monopoly in retail sales of liquor in the state.

It is mention worthy that Haryana Excise and Taxation Department had invited suggestions from general public/ all stake holders for formation of its New Excise Policy for the year. 2015-16. as per suggestions and opinions gathered by the writer there are three schools of thoughts.

The first says that the retail sales of liquor in the state should be aimed to fetch more revenue to the state exchequer with quality liquor to its consumers, this opinion holders say that there should not be shop wise allotment of license to sell liquor in retail instead of it there should be some definite circle level which will not only give some business space to the retailers but also indirectly ensure government revenue to the state exchequer through New Excise Policy for the year. 2015-16. Apart from above it will keep some sort of controlled check on liquor manufacturing companies who usually manufacture more than its allotted volume of liquor in black market by evading state excise revenue in connivance of some corrupt officers with political patronage. If there will be less authorized buyers (retailers and whole sellers) then it will put some sort of deterrent pressure on liquor manufacturing companies and will stop excise tax evasion by liquor manufacturing companies along with quality liquor to its consumers.

The second school of thought says that the retail sales of liquor in the state should be aim at to end the monopoly in retail sales by shop wise allotment of license to sell liquor retail and bring new employment avenues along with quality liquor to its consumers at comparative price, theoretically this is good equation but on ground it hampers the interest of the state and as well as the consumers of the liquid, whose excessive use is injurious for health. If there will be price war among retailers, their margin will come down and new entrant with least capital could not be able to survive that will directly loss revenue of the state and businessmen. Also against the main thought of this school to generate employments through retail of liquor sales sector and quality liquor to its consumers as to fight price war they have either have capacity to bear loss or they will compromise with quality of liquor. This situation suits liquor manufacturing companies, corrupt  excise and taxation officers and their political bosses which offer retailers low price liquor by manufacturing more than allotted quota without paying even single to state exchequer.

The third school says that government should play some proactive role to enhance its revenue, ensure quality of the liquor and to create conducive atmosphere for authorized businessmen indulged in sale of liquor in the state. The opinion holders of this school say that government should play some sort of proactive role in sale of liquor in the state in larger public interest by taking whole sale of all liquor manufacturing companies allowed to sell their liquor in state directly then allot the liquor to retailers as per their demand/quota, it will not only curb the illegal manufacturing of liquor by liquor manufacturing companies and selling it retailers and whole sellers without paying excise duty to the state but will also ensure quality of liquor along with additional amount of revenue to the state in shape of whole sale margins and excise duty to be levied on additional volume of liquor that earlier produced by companies evading  excise duty with connivance with corrupt officers.

After going through the opinions of all three schools of thoughts it will be in the interest of general public all stake holders to take all good thoughts all three schools for good governance aimed BJP government that to enhance the state exchequer  and quality liquor, the idea of whole sale business should be with government and to make retail liquor business viable , Idea to allot some sort minimum cluster of retail shops should offer so that it can ensure some stability and profitability  in retail business and also guarantee the realization of estimated license fee  from all the vendors timely. 

Dinesh Singh says, " We are living in welfare State, where ultimate goal of state is to do maximum welfare of its citizens. The governments irrespective of its political affiliations perform all   their ethical or unethical actions under the name of public interest, so there no harm if government should do liquor business itself to earn more revenue for social welfare."