AIWPA advocates uniform tax regime for the wine sector

AIWPA President Jagdish Holkar calls for a consistent national tax structure for wine to simplify inter-state sales and support wineries. Current disparate state taxes up to 100% of wine prices limit market growth and regional distribution

By Spiritz Desk 20 May 2024 in Alert

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The All India Wine Producers’ Association (AIWPA) voiced for a uniform taxation regime for the wine sector across India and asked the central government to bring such a system in place for the wine industry.

Commenting on the current regime of alcobev taxation model in Indian states, President of AIWPA, Jagdish Holkar said that the complex and varied taxation system across states has a negative impact on wineries, especially on smaller ones. It makes it harder for them to expand their market reach and sell wine in different regions of the country.

He added that the high intra-state duties, up to hundred percent of the maximum retail price for wines, make it challenging for the wineries of one state to sell their products in another state as each state has a unique tax structure.