Archive · 21 Sep 2025
Delhi Reduces Excise Duty Target Amidst Revenue Shortfall
The Delhi government is collecting less money than expected from taxes on alcohol.
Because of this, they've lowered their goal for how much money they want to collect.
They are hoping to earn more during the festival season in the coming months.
Sales of popular brands have been impacted due to availability issues, and people are buying from neighboring cities.
Currently, all liquor shops are run by the government, but the Delhi government is now considering bringing back private liquor shops, like before December 2021, to boost sales.
The Delhi government has reduced its excise duty target from Rs 7,000 crore to Rs 6,000 crore.
Excise revenue collection between April and August totaled Rs 2,500 crore, falling short of expectations.
The shortfall is attributed to factors including lack of popular alcohol brands.
The government expects collections to increase during the upcoming festival season.
A new excise policy is under development, considering the reintroduction of private liquor shops.
- Who
- Delhi Government
- What
- Reduced its excise duty collection target
- When
- For the 2025-26 financial year
- Where
- Delhi
- Why
- Revenue collection is falling short of the original target due to issues like non-availability of popular brands.
- Original Excise Duty Target
- Rs 7,000 crore
- Revised Excise Duty Target
- Rs 6,000 crore
- Revenue Collected (April-August)
- Rs 2,500 crore
- 2024-25 Excise Revenue
- Rs 5,700 crore
- 2024-25 Revenue with VAT
- Over Rs 7,765 crore
- Current Liquor Shops
- 792 government-run