Coronavirus: How liquor sales contribute to states' revenues : News Reel: Business Today
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Coronavirus: How liquor sales contribute to states' revenues

May 6, 2020
As the liquor stores opened their shutters on Monday all over the country after 40 days of lockdown, crowds of tipplers surged outside the shops. The large crowds, mostly flouting social distancing protocol, did not go down well with the authorities fighting COVID-19 outbreak. But, the huge turnout of parched buyers brought visible cheer in states' revenue departments, as they had been starving of funds due to dried up economic activities during the first two phases of coronavirus lockdown. Liquor helps states earn more and revenue collected from it doesn't come solely from what is sold. VAT (value-added tax) levied on liquor by states like Tamil Nadu, special fee charged on imported foreign liquor, transportation of liquor and registration of liquor brands, are the secondary sources of revenue from alcohol. Watch the video for more.



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