Andhra Pradesh to levy 2% cess on landed cost of liquor

The Government of Andhra Pradesh will be levying a 2% cess on the landed cost of liquor, as per the new excise policy to be effective from October. The landed cost includes ex-factory cost and all taxes.

“The cess will be used for deaddiction and rehabilitation of the alcohol addicts,” Mukesh Kumar Meena, Principal Secretary (Excise), told The Hindu.

“The government is committed to improving the health of the boozers by encouraging deaddiction,” Mr. Meena said, and added that the government would spend the money for the purpose intended by creating a separate head in the budget.

Chief Minister N. Chandrababu Naidu, Excise Minister K. Ravindra, and the Cabinet Sub-Committee on the new policy had repeatedly mentioned about the alcohol-related deaths and health hazards due to consumption of sub-standard liquor supplied through the government-run outlets during the YSRCP term. They further observed that the previous government did not spend a single rupee on deaddiction and rehabilitation programme, which only worsened the situation.

While aiming at making available in the State all the well-known liquor brands in the country, the government is planning to remove the sub-standard brands from the market.