The state excise department will study different duty structures applicable for imported liquor and beer in West Bengal in order to frame new rates inside the state, according to government sources.
The Odisha State Beverages Corporation (OSBC) has prepared comparative data regarding excise duty, vend fee and import fee applicable in West Bengal and in Odisha. The state excise department has sent the data to the excise commissioner for taking further action in the matter.
The state government has been considering several proposals to boost its tax revenue base, as income from non-tax source has been on slippery mode.
Last year, the commercial tax wing of the state finance department proposed a host of proposals such as enhancing sales taxes on liquor and retail petroleum products to boost its revenue earnings, which was sluggish during April to December on account of drop in mining revenue, the biggest contributor to its non-tax income.
As per the proposal, commercial tax department has recommended to enhance sales tax on liquor by 5 to 10 per cent, taking a cue from neighbouring states. The rise in rates is expected to add Rs 200-300 crore revenue to excise levy kitty.
Currently Odisha charges 20 per cent sales tax on liquor, whereas many other states collect it at the rate of 25 to 30 per cent.The earnings from this sector constituted 21 per cent of the total Rs 11,212 crore commercial tax collection in the state during 2012-13.
