Key facts
- Assam's excise laws have been amended to include a Minimum Guaranteed Revenue (MGR) for liquor wholesale and retail license holders.
- The new MGR provision is expected to lead to a 7-12% increase in liquor prices.
- The revised pricing is set to take effect from July 1.
- The MGR will be an additional charge beyond the existing license fee and VAT.
- The Excise Commissioner, with state government approval, will determine the MGR, payable quarterly.
- A new clause allows 'On' licensees to sell only sealed bottles of 750 ml or larger.
The Assam government has amended its excise laws by introducing a Minimum Guaranteed Revenue (MGR) for liquor license holders. This new provision requires both wholesale and retail license holders to deposit a fixed amount annually, which is expected to drive up liquor prices by 7-12% starting July 1.
The MGR is an additional charge on top of the existing license fee and Value Added Tax (VAT). Officials from the Excise department indicated that the MGR will be paid on a quarterly basis. The specific MGR amount will be determined by the Excise Commissioner, subject to approval from the State government.