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CAG Flags Rs 244 Crore Revenue Loss in Maharashtra Excise Department

Authorities face pressure to overhaul outdated excise rules that allowed significant duties to go uncollected through procedural gaps

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Overview

  • The CAG report published July 18 finds that departmental errors between 2017 and 2022 led to over ₹244 crore in uncollected excise revenue.
  • Incorrect assessment of licence renewal fees caused the state to lose ₹20.15 crore in revenue and ₹70.22 crore in unpaid interest.
  • Failure to adopt revised supervision fee rates created an additional shortfall of ₹1.20 crore.
  • Unauthorized duty exemptions on old beer stock and delays in chemical analysis of mild beer exposed persistent procedural failings.
  • Obsolete regulations and valuation oversights, including uncharged fees for shareholding shifts, missing cost-declaration provisions, undervalued Canteen Stores Department products and flawed foreign liquor cost entries, accounted for the remainder of the shortfall.