Maharashtra Excise Department Criticized for Massive Revenue Loss

The CAG of India criticized the Maharashtra state excise department for operational lapses leading to significant revenue loss. Incorrect fee assessments, outdated duty exemptions, and undervaluation of costs were highlighted. The department's failures resulted in a cumulative loss of crores, raising concerns about its efficiency.

The Comptroller and Auditor General (CAG) of India has sharply criticized the Maharashtra state excise department for significant operational lapses that resulted in a substantial revenue shortfall.

According to the CAG report, incorrect assessment of licence renewal fees and failure to implement revised rates led to a combined revenue loss of over Rs 91 crore. In addition, the Excise Commissioner reportedly exempted duties without state government approval, exacerbating financial shortfalls.

The report points to multiple inefficiencies, including the delayed chemical analysis of mild beer affecting tax recovery, and undervaluation of production costs, particularly impacting the Canteen Stores Department. These lapses highlight critical flaws in the department's functioning, marking a call for urgent reform.