HYDERABAD: The state government has increased the non-refundable application fee for allotment of retail liquor (A4) shops from the existing Rs 2 lakh to Rs 3 lakh for the licence period from December 1 to November 30, 2027. A GO issued on August 14, which came to light on Wednesday, detailed the terms and conditions under which licences will be granted.
Multiple applications will be permitted for a single shop, and partnership firms and companies are also eligible to apply. The selection will be made by draw of lots conducted by respective district collectors.
Reservations for Gouds (15%), Scheduled Castes (10%), and Scheduled Tribes (5%) will continue. The Retail Shop Excise Tax (RSET) remains unchanged from the previous term. Based on population size, the annual excise tax per shop ranges from Rs 50 lakh in areas with up to 5,000 people to Rs 1.1 crore in areas with populations above 20 lakh.
Licencees are required to pay excise dues in six instalments and furnish a bank guarantee equivalent to 25% of the annual RSET for 25 months. A 10% turnover tax will apply if annual purchases exceed 10 times the RSET.
The government has retained existing liquor shop timings: 10 am to 11 pm in GHMC limits and adjoining areas, and 10 am to 10 pm elsewhere.
Margins have been fixed at 27% for ordinary IMFL, 20 per cent for premium and medium IMFL and foreign liquor, and 20% for beer. Licencees can also operate walk-in stores by paying an additional fee of `5 lakh per annum, as permitted in the previous licening period.