Registered

PART I] No. WB/SC-247

THE KOLKATA GAZETTE, EXTRAORDINARY, FEBRUARY 11,
No.2022
WB(Part-I)/2022/SAR-2721

The

Kolkata Gazette
Extraordinary
Published by Authority

MAGHA 22] FRIDAY, FEBRUARY 11, 2022 [SAKA 1943

PART I—Orders and Notifications by the Governor of West Bengal, the High Court, Government Treasury, etc.
GOVERNMENT OF WEST BENGAL
FINANCE DEPARTMENT

NOTIFICATION

No. 193-F.T. Dated, Howrah, the 11th February, 2022

In exercise of the powers conferred by Sections 85 and 86 of the Bengal Excise Act, 1909 (Ben. Act. V of 1909),
the Governor is hereby pleased to make, with effect from 12.02.2022, the following amendments to the West Bengal
Excise (Foreign Liquor) Rules, 1998, published vide Excise Department Notification No.364-Ex dated 23rd July, 1998 as
subsequently amended, hereinafter referred to as the said rules: –
Amendments
In the said rules, –
1. In Rule 24, sub-rule (1), substitute the words “to deal in duty paid foreign liquor procured from a distributor”
with the words “to deal in under-bond and / or duty paid foreign liquor procured from a distributor”.
2. In Rule 25, sub-rule (1), clause (a), substitute the words “License for transport, import, storage and supply
of duty paid foreign liquor” with the words “License for transport, import, storage and supply of under-bond
and / or duty paid foreign liquor”.
3. Insert new Rule 26 as follows, –
“26. Before the license to work as distributor is granted, –
(1) The Commissioner shall fix the yearly / quarterly / monthly volume of business in cases / bottles / bulk
liters by the distributor on the basis of declaration of the licensee and verification counting on size of the
warehouse(s) provided by the distributor for storage of such liquor.
(2) The distributor shall execute a Hypothecation Bond in the prescribed form pledging his stock-in-trade,
in tune with the volume of business fixed as per sub rule (1) above, whether stored at his own-operated
warehouse or at any warehouse of the wholesaler, to the State Government for the discharge of all
payments which may become due to Government.
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(3) The distributor shall also execute an Indemnity Bond supported by bank guarantee of not less than 25%
of Hypothecation Bond value, stating that during the currency of the said license the State Government,
represented by the Excise Commissioner, shall have an absolute legal right and authority to sell, transfer
and convey the said stock of foreign liquor hypothecated to the State Government or to revoke the bank
guarantee for recovery of all payments which may become due to the Government at any point of time
in the event of loss / damage / rendered unfit during transport / storage of such foreign liquor.
(4) As an additional measure of towards safeguard of revenue due to the Government the Distributor shall
have to maintain a Security Deposit of such value with the Wholesaler as may be fixed by the Wholesaler
in consultation with the Excise Commissioner from time to time.”
4. Insert new Rule 26A as follows, –
“26A. (1) Any holder of Distributor License of Country Spirit desirous of distributing 50° UP/28.5% V/V
foreign liquor shall apply in writing to Excise Commissioner for grant of supplementary license to distribute
50° UP/28.5% V/V foreign liquor with a receipted original challan showing the payment of Rs. 50000/-
towards non-refundable registration fee for application.
(2) The Excise Commissioner after being satisfied, shall grant such supplementary license as mentioned in
sub-rule (1) above after realization of registration fee for initial grant of license of an amount of Rs.
500000/-.
(3) The Excise Commissioner may allow supplementary license of 500 UP/28.5% V/V foreign liquor for the
next period of settlement on receiving an application to that effect with a receipted challan showing
payment of Rs. 500000/- for the registration fee for the next period of settlement of the same.
(4) If the holder of Country Spirit Distributor License fails to submit an application as mentioned in sub-
rule (3) above within 31st March of the current financial year the said supplementary license shall stand
cancelled.
(5) The validity of the above mentioned supplementary license for distribution of 500 UP/28.5% V/V foreign
liquor shall be in conformity with the validity of the primary Country Spirit Distributor License granted
under the existing rules in this regard.”
5. In Rule 139, sub-rule (3), omit the second proviso.
6. Insert a new Rule 139 A after Rule 139 as follows, –
“139 A. Conditions under which transport of Foreign Liquor under bond for payment of duty may be made
by the distributor – (1) Foreign liquor may be transported under a bond for the payment of duty imposed
under section 27 of the Act, from a warehouse of a manufacturer to a warehouse of a distributor or wholesaler
or from a warehouse of a distributor to a warehouse of the wholesaler, only by a person who holds licenses
for storage and sale of foreign liquor granted under the Act and executed an Indemnity Bond under Rule 26 of
these rules.
Provided that when foreign liquor is so transported, Rule 128 and Rules 134 to 137shall apply mutatis
mutandis.
(2) Based on the Hypothecation Bond as mentioned in Rule 26 a Bond Value Register shall be maintained
with the Distributor with value equivalent to the value of hypothecation. At the time of placing requisition
for sourcing their supplies of packaged liquor from the manufacturer an amount equivalent to the
involved amount of Additional Excise Duty shall be debited from the said Bond Value Register. Once the
stocks are sold to the retailers through the Wholesaler the involved amount of AED on such sold stocks
shall be re-credited to the Bond Value Register of the Distributor.
(3) All requisitions for procurement of packaged liquor by any Distributor shall be routed through the
Wholesaler. Once the stocks dispatched from the manufactory are received at the destination warehouse
PART I] THE KOLKATA GAZETTE, EXTRAORDINARY, FEBRUARY 11, 2022 3

by the authorized person, the involved amount of AED on any stocks lost or damaged in transit shall be
debited from the Security Deposit maintained at the Wholesaler’s end against the concerned Distributor
in terms of sub-rule (4) of Rule 26 of these rules. The amount so realized from the Security Depot of the
Distributor by the Wholesaler against lost or damaged or rendered unfit stocks during transit shall be
deposited to the appropriate Government Head of Account by the Wholesaler at periodic intervals.”
7. Substitute Rule 197 as follows, –
“197. Duty to be paid before removal unless bond executed – No foreign liquor imported or manufactured
under bond or stored in manufactory, shall be removed unless the duty imposed under Section 27 and Section
28 of the Act has been paid or a bond has been executed for such payment thereof.
Provided that under-bond transport, storage and supply without pre-payment of Additional Excise Duty shall
be allowed only in case of potable foreign liquor bottled in West Bengal. Import of potable foreign liquor in
bottles shall always be on pre-payment of duty and additional duty in terms of Rule 127A of these rules.”
8. Substitute Rule 198 as follows, –
“198. Place and manner of payment of Excise Duty and Additional Excise Duty – (1) Excise Duty on potable
foreign liquor bottled in West Bengal shall be paid immediately after completion of the bottling operation and
before removal of the same from the bottling hall to the adjunct bonded warehouse of the manufacturer by
way of adjustment to the Personal Ledger Account maintained for the purpose of deposit of duty at such
manufactory or brewery. Separate P.L Account shall be maintained for each sub-lease holder in accordance
with the directions issued by the Excise Commissioner from time to time.
(2) Additional Excise Duty on potable foreign liquor bottled in West Bengal shall be collected by the holder(s)
of Wholesale License granted under Rule 24 of these rules at the time of sale of such foreign liquor to
retailer(s) and deposited to the appropriate Government Head of Account by such Wholesale License
holder(s).
Provided that with prior approval or as directed by the Excise Commissioner, the Additional Excise Duty
may be also paid by the manufacturer at the time of removal of stocks from the manufactory under
intimation to Wholesaler.
Provided further that no potable foreign liquor bottled in West Bengal and meant for consumption by
Defence Personnel and / or Border Security Personnel / para-military personnel deployed in West Bengal
shall be removed from manufactory / brewery without payment of Additional Excise Duty.”
9. Insert new Rule 199 as follows, –
“199. Place and manner of payment / recovery of Excise Duty and Additional Excise Duty – (1) Additional
Excise Duty on potable foreign liquor bottled in West Bengal and lost or damaged or expired or rendered unfit
for sale while in storage at the manufacturer’s warehouse or kept beyond a period of 6 months from the date
of manufacturing at the manufacturer’s warehouse shall be paid by the manufacturer by adjustment to the
Personal Ledger Account maintained for the purpose of deposit of duty at such manufactory or brewery.
(2) The Additional Excise Duty (AED) on stocks of foreign liquor lost or damaged or rendered unfit in
transit from the manufacturer’s warehouse to the distributor’s or wholesaler’s warehouse or from the
distributor’s warehouse to the wholesaler’s warehouse or the AED on stocks damaged or expired or
rendered unfit for sale while lying at the Distributor’s or Wholesaler’s warehouse will have to be borne
by the Distributor.
The AED on stocks lost or damaged or rendered unfit during transit shall be immediately realized from the
Security Deposit Register of the Distributor maintained with the Wholesaler at the time of receipt at the
destination warehouse by the authorized person.
For all other cases whenever a demand notice is issued by the competent Excise authority to a Distributor for
recovery of AED on stocks lost, damaged, expired or rendered unfit for sale, the distributor shall pay the
amount within 15 days from the date of receipt of the demand notice failing which the amount may be
recovered by way of, –
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(a) Liquidating the hypothecated stock-in-trade by the mortgagee (Excise Commissioner on behalf of the
State Government); or
(b) Debit from the Security Deposit maintained with the Wholesaler against the Distributor as per direction
of the Excise Commissioner; or
(c) Both (a) and (b) above.
(3) Whenever a demand notice for recovery of AED against stocks removed under-bond from a manufactory,
and subsequently lost, damaged, expired or rendered unfit for sale, is made by a competent Excise
authority, the distributor may prefer an appeal before the Excise Commissioner only after making the
payment of the AED so demanded and the Excise Commissioner may, on just and cogent grounds being
shown to him and subject to his satisfaction, refund the money so deposited to the distributor in such
manner as the Excise Commissioner may deem fit.
(4) In case the AED on stocks removed from a manufactory by a distributor under-bond is not recovered
by the Wholesaler within such period as may be fixed by the Excise Commissioner from time to time,
subject to a maximum of 6 months from the date of manufacture, by way of sale of such stocks to
retailers, the Excise Commissioner may direct the Wholesaler to realize the involved amount of AED on
such stocks from the payables due to the distributor and deposit the same to the appropriate Government
Head of Account.”

By order of the Governor,

MALAY GHOSH, IAS

Additional Secretary to the Government of West Bengal

Published by Finance Department, West Bengal and printed at Saraswaty Press Ltd.
(Government of West Bengal Enterprise), Kolkata 700 056.