Several liquor manufacturing companies in Sri Lanka have increased the prices of arrack and other spirits in response to rising fuel costs, it was reported. 

According to media reports, industry sources state the price of a 750 milliliter bottle of the country’s most‑sold arrack has been raised by Rs. 20, while a half bottle has gone up by Rs. 10. 

The price of an old arrack bottle has also been increased by Rs. 50.

In addition, bottles of whisky and brandy have seen a price hike of Rs. 100.

However, the companies state that beer prices remain unchanged despite the adjustments to other categories. (Newswire)

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The Attorney General today (20) informed the Supreme Court that steps have been taken to file cases before the District Court to recover taxes allegedly evaded by liquor manufacturing companies.

The announcement came during the hearing of a fundamental rights petition filed seeking an order to recover unpaid taxes from the companies.

Appearing on behalf of the Attorney General, the Additional Solicitor General notified the Supreme Court that legal proceedings are being initiated to ensure recovery of the outstanding sums. (Newswire)

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The Excise Department has announced that all licensed liquor outlets across Sri Lanka will remain closed during the Vesak Full Moon Festival on Saturday, May 30, and Sunday, May 31.

Excise Commissioner General M.B.N.A. Pemarathna said the closure will begin from this evening, May 29, and continue until reopening on Monday, June 1.

The directive applies islandwide in observance of Vesak, marking Buddhist Year 2570.

The department urged the public to report any violations of license conditions during the closure period via the short code 1913 or by email at oicoptroom@excise.gov.lk.

Pemarathna added that strict legal action will be taken against outlets that remain open or breach licensing rules. (Newswire)

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The Department of Excise has announced that all liquor shops will be closed for three days in May in view of the Vesak festival and International Workers’ Day.

According to the department, liquor stores will be closed on May 01, which marks International Workers’ Day (May Day).

All liquor stores will also be closed on May 30 (Vesak Poya) and May 31 (the day following Vesak Poya).

The government announced that, at the request of the Chief Prelates, it has been decided to observe Vesak Full Moon Poya Day on May 30, while May 31, the day following Vesak Poya Day, will be a public holiday.

The government further declared the State Vesak Week from May 27 to June 2. (Newswire)

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The Department of Excise has announced that all liquor outlets across Sri Lanka will remain closed on April 13 and 14, in line with the Sinhala and Tamil New Year celebrations.

In a statement, the Department clarified that only tourist board‑approved hotels with an R.B.07 license or special boutique villa licenses will be permitted to serve liquor, and that, too, exclusively to foreign tourists staying at those establishments.

The Department further warned that any license holders found violating the directive by selling liquor during the festive period will face strict legal action under excise law.

The Excise Department urged the public to report complaints related to liquor offences, narcotics, or tobacco violations during this period via the Department’s hotline 1913. (Newswire)

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All liquor outlets across Sri Lanka will remain closed on April 13 and 14, coinciding with the Sinhala and Tamil New Year celebrations, Excise Commissioner General M.B.N.A. Pemarathna announced.

With government approval, licensed establishments, including liquor shops, taverns, hotels, restaurants, and karaoke bars, will suspend alcohol sales during these two days.

Pemarathna further said that strict legal action will be taken against any license holders found violating excise laws by selling alcohol during the holiday period. 

He further urged the public to report any illegal liquor trafficking to the hotline number 1913.

Special excise operation units in Galle, Anuradhapura, Kandy, Kurunegala, and island‑wide will be on heightened alert to apprehend offenders engaged in unlawful alcohol distribution during the festive season, he added. (Newswire)

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Colombo Chief Magistrate Thanuja Lakmali today ordered the Colombo Crimes Division (CCD) to obtain a report from the Government Analyst to uncover who was responsible for turning a stock of foreign liquor, seized by the police and presented to court, into plain water and tea-colored liquid during its scheduled destruction by court order.

The Chief Magistrate directed that 81 bottles of foreign liquor and 150 beer bottles, previously stored in the court’s case goods room, be handed over to the Government Analyst for inspection.

The stock of liquor had earlier been ordered for destruction by Colombo Additional Magistrate Pasan Amarasekara on February 17.

However, during the destruction process, the Magistrate observed that the contents did not appear to be genuine alcoholic beverages. As a result, the bottles were resealed and ordered to be re-stored in the case goods room of the court.

The Magistrate also called for an immediate investigation into who had converted the alcohol into plain water and tea-colored liquid.

Subsequently, the Magistrate issued this order after granting the police request to obtain a report from the Government Analyst regarding the altered contents. (Newswire)

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The Parliamentary Committee on Public Finance (COPF) has denied approval for the proposal submitted by the Ministry of Finance to increase the Excise Duty on cigarettes.

The Committee deliberated on the Order under Section 3 of the Excise (Special Provisions) Act, No. 13 of 1989, and the Excise Notification No. 01/2025 issued under Section 22 of the Excise Ordinance (Chapter 52).

Presenting their views, Finance Ministry Officials said that under the Order pursuant to Section 3 of the Excise (Special Provisions) Act, No. 13 of 1989, an increase of 5.9% has been proposed for the excise duty imposed on all items subject to a fixed rupee value-based excise duty, including motor vehicles, cigarettes, aerated beverages, and tobacco products. 

They further said that under Excise Notification No. 01/2025 issued under Section 22 of the Excise Ordinance (Chapter 52), an increase of 5.9% in the excise duty on liquor products has also been proposed.

Chairman of COPF, MP Harsha de Silva said the increase in the excise duty on cigarettes cannot be approved without concrete data and emphasized the need for justification regarding the steps taken to increase the excise duty on cigarettes. 

Furthermore, he pointed out that studies conducted on excise revenue from cigarettes indicate that this calculation method has led to a decline in government revenue while increasing the profits of particular manufacturing companies. 

Therefore, he stressed the importance of ensuring that this tax revision would indeed be beneficial to government revenue. 

However, the Chair decided to reconsider the Order issued under Section 3 of the Excise (Special Provisions) Act, No. 13 of 1989 at the next Committee meeting following further clarifications from officials of the Ministry of Finance, regarding the excise duty increase.

Meanwhile, the proposal to increase the excise duty on liquor under Excise Notification No. 01/2025 issued under Section 22 of the Excise Ordinance (Chapter 52) was approved by the Committee. 

During the discussions, Members of Parliament raised concerns that such tax increases could potentially drive individuals towards the consumption and production of illicit liquor. 

In response, officials stated that raids against illicit liquor operations are being conducted systematically. 

Additionally, they mentioned that within the past two months, the production of liquor in the country had increased by 22%, while revenue had grown by 23%. 

Furthermore, it was stated that plans are underway to introduce a new category of liquor to minimize the consumption of illicit liquor.

The matters were raised during a meeting of the Committee on Public Finance, chaired by MP Harsha de Silva, in Parliament recently (06 Mar). (Newswire)

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The Department of Excise has announced the closure of liquor stores in view of the Vesak Festival celebrated this week. 

Accordingly, liquor stores Islandwide will be closed on 23 and 24 May 2024, and reopen on May 25, 2024.

However, liquor stores in the Matale District will be closed for a period of four days, from May 21 to May 25. 

The Excise Department said that this was in view of the National Vesak Festival which will be held in the Matale District this year. (Newswire)

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The five liquor production companies whose licences were recently suspended owe tax arrears amounting to Rs. 2,715 million to the government, State Minister of Finance Ranjith Siyambalapitiya informed the Parliament.

Briefing the Parliament yesterday, the State Minister said the total tax default with the three per cent penalty for default stands at Rs. 6,721 million.

Stating that the outstanding taxes cannot be collected by closing these companies, State Minister Siyambalapitiya said they have been given a deadline of December 29 this year to settle their tax arrears.

He further said that the licences of four liquor manufacturing companies have already been suspended due to their failure to pay tax arrears.

However, among the companies, only one company has entered into legal proceedings, so the relevant licence has been extended until November 13, which is the next court date, the State Minister revealed. 

State Minister Siyambalapitiya added that the licences of the five companies will not be extended and legal action will be initiated thereafter.

State Minister of Finance Ranjith Siyambalapitiya made the statements in response to a question raised by Opposition Leader MP Sajith Premadasa. 

Earlier in November, it was reported that the licences of Synergy Distilleries (Pvt) Ltd, Finnland Distilleries Corporation (Pvt) Ltd, Wayamba Distilleries, W M Mendis & Co Ltd and the Randenigala Distilleries Lanka (Pvt) Ltd were suspended. 

Sri Lanka’s Excise Department said at the time that the licences of the five liquor manufacturing companies were suspended after their annual licences had not been renewed due to the failure to pay tax arrears. (NewsWire)

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All licenced wine stores and liquor sales outlets across Sri Lanka will be closed for three days next week in view of the Vesak festival.

The Department of Excise stated that all licenced liquor outlets or retail outlets will be closed from the 4th -the 6th of May. 

The Department further warned that stringent action will be taken against those failing to close down during the said period. (NewsWire)

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