The Government of Karnataka, on April 18, 2026, issued a draft notification proposing amendments to the Karnataka Excise (Excise Duties and Fees) Rules, 1968 under Section 71 of the Karnataka Excise Act, 1965. The draft has been published for public information, and objections or suggestions may be submitted within seven days from the date of publication.
The draft introduces a new definition of “Alcohol-in-Beverage (AIB)” to standardize the measurement of alcohol content across various liquor categories such as whisky, rum, beer, wine, and other alcoholic beverages. It also proposes significant revisions to excise duty rates under Schedule-A, including differentiated rates for liquor supplied to military and paramilitary entities and a new duty structure of ₹1,000 per litre of pure alcohol for distributor licensees dealing with both domestic and imported liquor.
Further, amendments to Schedule-A and Schedule-D revise duty rates for bottled and draught beer based on alcohol content and introduce slab-based additional excise duties linked to declared price ranges. These changes aim to rationalize the taxation framework, ensure uniformity, and enhance revenue administration. The final rules will come into force upon publication in the Official Gazette after consideration of stakeholder feedback.
[Notification No. FD 14 PES 2026]
