Gujarat's Liquor Tax: A Revenue Surge Amid Prohibition

The Gujarat government collected Rs 33.98 crore in liquor taxes over two years from 28 hotels in Ahmedabad and Gandhinagar. Despite being a dry state, 22 hotels in Ahmedabad and six in Gandhinagar are permitted to sell alcohol, contributing significant revenue without any permits being canceled.

The Gujarat government has reported a collection of Rs 33.98 crore in taxes over the past two years from liquor sales at 28 hotels located in Ahmedabad and Gandhinagar districts.

During the ongoing Budget Session's Question Hour, Congress MLA Imran Khedawala inquired about the number of hotels authorized to sell alcohol in these districts and the tax revenue generated from such sales. In response, Gujarat Chief Minister Bhupendra Patel clarified that 22 hotels in Ahmedabad and six in Gandhinagar hold permits for liquor sales.

Remarkably, Gujarat, known for its strict prohibition laws since its establishment, reported earnings of Rs 14.45 crore in 2023 and Rs 19.53 crore in 2024 from these hotel liquor sales. No permits were revoked during this period, emphasizing the state's controlled approach to alcohol sales.

(With inputs from agencies.)