Mumbai: Liquor served in bars, lounges, and cafes in Maharashtra will get costlier from November 1. Maharashtra government has decided to increase the Value Added Tax (VAT) cent for permit room liquor services. The VAT is hiked by 5%. After this, the total VAT rate on permit room liquors will be a total of 10%.
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However, the rise in tax rate will not affect over-the-counter sales at wine shops. There will be no rise for liquor services in star hotels as they are already paying higher VAT. Currently, the VAT imposed on the liquor services at star hotels stands at 20%.
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