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Liquor to cost 10-15% more from April 1 in Haryana

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Will excise hike on alcohol drown Gurgaon’s spirits?

GURGAON: It may be time to say goodbye to happy hours at Gurgaon's marquee pubs and eateries.The cost of imported liquor in the city will rise astronomically from April 1 when, other than the increased value added tax (VAT), an 'assessment fee' introduced by the Haryana government kicks in. Some of the most fancied foreign beer brands will take the worst blow.The 'assessment fee' amounts to Rs 600 per proof litre on whisky, rum, vodka and brandy, Rs 500 per bulk litre on wine and Rs 400 per bulk litre on beer. While this will make imported whisky costlier by over Rs 300 per bottle, it will still be cheaper than the price of imported whisky in Delhi (for example, a bottle of Black Label , which costs Rs 3,760 in Delhi will come for 2,930 in Gurgaon after the price increase).But imported beer, which is already costlier in Gurgaon than in Delhi, will see its prices shoot by over 100%. The price of a can that currently costs Rs 150 will go up to Rs 350 from April 1.Asked what the 'assessment fee' meant, an excise official said, "It's a new levy to earn revenue. Since the government cannot charge excise duty on imported liquor, it has imposed an assessment fee. This fee is charged in Delhi, too."But pub-owners warned these taxes - compounded by the increase in VAT and bar licence fees that the state had announced earlier - would hit the industry hard and encourage more people to drink in local vends. "The excise department's move is a huge blow to the bar and pub businesses in Gurgaon," said a pub-owner.The VAT increase is applicable to Indian-made foreign liquor and country liquor. But they have been spared the 'assessment fee'.Another pub manager said, "Initially, we thought the state government is trying to keep the business clean by increasing the bar licence fee but the assessment fee has come as a major setback." According to a local vend owner, the state government's new excise policy is aimed at making Indian alcoholic beverages cheap as compared to imported beer and wine.The excise official dismissed these allegations. "As far as impact on business is concerned, the demand may be less but it's a a policy decision and we can't do anything about it," he said.