Punjab Excise Row: NV Distilleries Battles Multi-Crore Tax Demand
NV Distilleries has moved the Punjab High Court, challenging a multi-crore excise duty demand levied by the state government. The distillery contends the demand is illegal, claiming it had the necessary permissions under the Punjab Distillery Rules to manufacture 22,936 cases of Indian Made Foreign Liquor (IMFL).
The company argues that the disputed stock remains sealed and seeks court permission to sell it. They highlight substantial financial losses and the hardship faced by their employees due to the partial sealing of their stock.
The distillery’s plea underscores the ongoing tension between businesses and the state excise department over tax regulations. The High Court will hear the case on August 27, a decision that will significantly impact not only NV Distilleries but also the wider liquor industry in Punjab and potentially set a precedent for future disputes. The outcome could influence the state’s excise revenue and the livelihoods of thousands employed in the sector.
