Applying for a liquor license in Delhi is essential for anyone planning to sell, serve, or distribute alcoholic beverages lawfully within the city. Regulated by the Delhi Excise Department, liquor licenses are issued for a variety of establishments, including bars, restaurants, retail shops, clubs, and temporary events. To simplify the process, the government now facilitates liquor license applications through an online portal, making it more convenient and time efficient. Applicants must provide the required documents, pay the necessary fees, and comply with specific rules and conditions. This article outlines the complete process, documents, and fee structure for obtaining a liquor license in Delhi.
Liquor or Alcohol License
Alcohol has consistently remained in high demand in a metropolitan city like Delhi, significantly contributing to the state's overall revenue generation. Recognizing this, the Delhi Cabinet introduced a new excise policy on 29th March 2021, aiming to reform the licensing, sale, and consumption of liquor in the capital. One of the key proposals under this policy was to reduce the legal drinking age from 25 to 21 years.
The policy also seeks to transform the consumer experience by moving away from the outdated, prison-like government-run liquor outlets, promoting the privatization of liquor shops instead.
Types of Liquor available in the market
In the Indian market, liquor is primarily categorized into two main types based on its origin and manufacturing process:
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IMFL (Indian Made Foreign Liquor): IMFL refers to strong alcoholic beverages that are produced within India but follow the standards and styles of foreign liquors such as whisky, rum, vodka, and gin. These are manufactured by Indian companies and widely consumed across the country.
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IFL (Imported Foreign Liquor): IFL includes all types of liquor that are manufactured outside India and imported into the country. Due to import duties and premium branding, IFL is generally more expensive than IMFL.
Why is the License for Alcohol required?
To maintain public order and ensure safety, the government has implemented regulations governing the sale and distribution of liquor, making it mandatory to obtain a valid license for any alcohol-related activity. No individual is permitted to manufacture, distribute, or sell intoxicating liquor without prior authorization from the state’s alcohol and tobacco control authority.
Alcohol consumption is not limited to affluent sections of society; it is increasingly prevalent among the middle and lower-income groups, especially the youth. Factors like easy availability and weak enforcement of laws contribute to this rise. Therefore, a robust verification and licensing system is essential to prevent the misuse and unauthorized sale of liquor licenses.
Anyone intending to sell alcohol must obtain permission from the respective state government. Additionally, serving liquor at public events, social gatherings, weddings, or other venues also requires prior approval. Each state has its own excise policies and conditions that must be followed, including separate licenses for different categories of liquor outlets such as wine shops, bars, and clubs.
In Delhi, the process for obtaining a liquor license for establishments like restaurants, clubs, and events has been digitized. As per an order issued by the Delhi Excise Department in October 2017, all applications must be submitted online, and physical submissions are no longer accepted by officials. This move has simplified the licensing process while ensuring greater transparency and compliance.
Type of Licenses for Liquor Shop in Delhi
In Delhi, the sale, distribution, and consumption of alcohol are governed by the Delhi Excise Act, 2009, and the issuance of licenses is overseen by the Delhi Excise Department. Depending on the nature of the business—retail, wholesale, service in restaurants or clubs—different types of liquor licenses are granted. Below are the major types of licenses applicable for liquor shops and outlets in Delhi:
L-1 License – Wholesale License
Issued to entities engaged in the wholesale supply of Indian Made Foreign Liquor (IMFL). The licensee is authorized to supply liquor to L-2 (retail) and L-3 (hotel/bar) license holders.
L-3 License – Bottling Plant License
The L-3 License is granted through government tender to operational bottling plants approved by the Central or State Government, allowing them to bottle, label, and package alcoholic beverages for distribution.
L-6 License – Retail Vend of Indian Liquor
The L-6 License is issued to government undertakings for retail sale of Indian Made Foreign Liquor (IMFL) in sealed bottles for off-premises consumption through authorized liquor shops.
L-7 License – Retail Vend of Foreign Liquor (Private Shops)
Issued to private retail vendors for selling foreign liquor and beer through privately-owned liquor shops. These shops are permitted to sell sealed bottles for off-site consumption only.
L-9 License – Retail Vend of Foreign Liquor (Government Shops)
The L-9 License authorizes government-operated liquor shops to retail foreign liquor and beer in sealed bottles for consumption off the premises, as per Delhi Excise Department regulations.
L-10 License – Departmental Store License
The L-10 License allows eligible departmental stores to sell sealed bottles of Indian and foreign liquor for off-premises consumption, subject to specific infrastructure, location, and compliance requirements by the Excise Department.
P-13 License – Temporary Permit for Licensed Premises
The P-13 License allows licensed hotels, clubs, or restaurants to temporarily serve liquor during specific events held on their premises, with prior approval and applicable excise conditions.
L-15 License – In-Room Liquor Service for Hotels
The L-15 License allows star-rated, tourism-approved hotels to serve Indian and foreign liquor exclusively to resident guests in their rooms, ensuring private and restricted alcohol consumption.
L-16 License – Bar and Restaurant Liquor Service
The L-16 License permits star-rated hotels to serve liquor in designated bar and restaurant areas within the premises, allowing on-site consumption while complying with Delhi Excise Department regulations.
L-17 License – Restaurants and Hotels
The L-17 License permits licensed restaurants and hotels in Delhi to serve Indian and foreign liquor for on-premises consumption, subject to seating capacity, operational standards, and excise regulations.
L-28 License – Club Liquor Service License
The L-28 License allows registered clubs to serve Indian liquor exclusively to their members within the club premises, following Delhi Excise Rules and sourcing from authorized wholesalers.
L-29 License – Club/Mess Liquor Service for Government Servants
The L-29 License permits non-commercial clubs or messes to serve liquor exclusively to serving and retired government employees, under rules set by the Delhi Excise Department.
L-49A License – Temporary License for Private Parties
The L-49A License allows individuals to serve liquor at private parties or functions held at residences or private venues, valid for a single day within the state.
L-50 License – Temporary License for Public Events
Applicable for cultural events, exhibitions, and public gatherings where liquor is to be served temporarily. Organizers must comply with special conditions laid down by the Excise Department.
L10 license in Delhi
The Delhi Government has recently shifted its focus toward the L-10 License, which permits the retail sale of liquor across the city. This license is mandatory for individuals or entities intending to operate a liquor shop in Delhi. To acquire it, applicants must satisfy defined eligibility conditions, complete the required documentation, and follow the prescribed application process. Moreover, being aware of the applicable license fees is essential to ensure regulatory compliance and avoid any legal hurdles during or after the licensing process.
Eligibility to Apply for L-10 Liquor Shop License in Delhi
The L-10 License authorizes the retail sale of Indian and foreign liquor in Delhi and is mandatory for individuals or entities planning to operate a liquor shop in the city. Applicants must meet the following eligibility conditions:
1. Legal Status of the Applicant:
The applicant must be a recognized legal entity such as:
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A company registered under the Companies Act, 1956
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A partnership firm under the Partnership Act, 1932
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A co-operative society registered under the relevant Co-operative Societies Act
2. Restriction on Multiple Licenses:
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Only one L-10 license will be issued to any single company, firm, or co-operative society.
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In case of a sole proprietorship, the license will be issued in the name of the family, and no other family member may hold an additional L-10 license.
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This restriction does not apply to public sector undertakings.
3. Exclusive License Holding:
An L-10 license holder cannot hold any other retail or wholesale liquor license, except if the licensee is a government-owned enterprise.
4. Minimum Age Requirement:
The applicant must be at least 25 years old, in line with Delhi's legal drinking age requirement.
5. Clean Legal Record:
The applicant must not have any criminal convictions under the Delhi Excise Act or other applicable laws. A clean background is a mandatory condition.
6. Approved Business Premises:
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The liquor shop must be located in a commercially designated area approved by local authorities.
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The proposed premises should maintain the required minimum distance from schools, hospitals, and religious places as per Excise Department norms.
7. Financial Capability:
The applicant must demonstrate adequate financial resources to run a liquor retail business and comply with licensing and tax obligations.
8. Required Documentation:
Applicants must submit a complete set of documents, including:
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Identity and address proof
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Ownership or lease deed of the premises
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No Objection Certificate (NOC) from local municipal authorities
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Health and trade licenses
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Fire safety certificate
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Layout plan of the shop
Complying with the above is essential for the successful approval and continued operation of a liquor retail outlet under the L-10 license framework in Delhi. Failure to meet any of these conditions may lead to the rejection of the application or cancellation of the license.
Documents Required for Delhi liquor shop license
To apply for a liquor shop license in Delhi, the applicant must submit the following documents:
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Recent passport-sized photograph of the applicant
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Valid identity proof (such as Aadhaar Card, PAN Card, or Passport)
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Valid address proof (such as utility bill, voter ID, etc.)
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Proof of lawful possession of the shop premises (rent agreement, lease deed, or ownership documents)
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Detailed layout plan of the proposed liquor shop
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No Objection Certificate (NOC) from the State Fire Department and the Municipal Corporation
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Duly filled application form with complete personal and business details
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Latest Income Tax Return (ITR) along with an Income Tax Clearance Certificate
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Affidavit declaring no criminal record against the applicant
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Additional affidavits as required, affirming compliance with excise rules and eligibility conditions
These documents are crucial for verifying the applicant’s legal, financial, and regulatory compliance in the licensing process.
Procedure for Liquor shop License in Delhi
To apply for an L-10 liquor shop license in Delhi, the applicant must follow a structured process and submit the necessary documents to the Deputy Commissioner of Excise, Delhi. Below are the key steps involved:
Submission of Application and Documents
The applicant must submit a duly filled application form along with all required documents to the Deputy Commissioner of Excise. This includes identity proof, business details, and supporting declarations.
Proof of Shop Possession
The applicant must provide valid proof of lawful possession of the proposed liquor shop premises. This may be in the form of an ownership document, lease agreement, or rent agreement.
Affidavit of Physical Possession
A sworn affidavit must be submitted stating that the applicant is in actual physical possession of the premises for which the L-10 license is being sought.
Layout Plan of the Shop
The applicant must submit a detailed layout plan of the proposed shop, clearly indicating the dimensions and physical possession of the premises.
Additional Declarations and Certificates
The applicant is required to furnish an Income Tax Clearance Certificate and a Domicile Certificate confirming that they belong to the state where the application is being filed.
Demand Draft (DD) Submission
After completing all formalities, the applicant must submit a Demand Draft (DD) of Rs.8,00,000 in favor of the Deputy Commissioner (Excise), as part of the license processing.
Rule 23 Compliance Check
The application must comply with Rule 23 of the Delhi Excise Rules, 2010, which ensures there are no legal violations or disqualifications associated with the applicant or the premises.
Grant of License
Once all documents are verified and formalities are completed, the Excise Department will grant the L-10 liquor shop license, allowing the licensee to begin lawful retail operations.
Minimum Carpet Area for Liquor Shop in Delhi
The minimum carpet area required for opening a liquor shop in Delhi under the L-10 license is at least 500 square feet. This space must be located in a commercial area approved by the local municipal authority. The shop should have a proper layout with designated sections for display, storage, and counter service. Additionally, it must maintain a minimum distance from educational institutions, religious places, and hospitals, in compliance with the Delhi Excise Rules, 2010 and municipal zoning regulations.
Guidelines for Liquor shop Interior as per Delhi Government Rule
The selected applicant is required to submit a detailed interior layout plan of the proposed liquor shop, incorporating the following key elements:
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The shop floor must be designed to prominently display liquor brands along with their respective price lists, ensuring transparency for customers.
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The interior should maintain appropriate lighting, clean flooring, and proper hygiene standards to offer a safe and welcoming retail environment.
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The premises must be fully insured against fire and natural hazards, and the licensee must ensure the shop remains clean and dry, in accordance with directions issued by the Excise Commissioner.
Restricted area to set up a Liquor Shop in Delhi
As per guidelines issued by the Delhi Excise Department, certain location-based restrictions apply to the establishment of liquor shops within the city. To preserve public order and maintain societal decorum, liquor shops must not be set up in or near residential neighborhoods.
Furthermore, it is strictly mandated that no liquor outlet shall be established within a distance of 50 to 100 meters from any place of worship or educational institution, especially in areas falling under municipal corporations and municipalities. These rules are enforced to ensure that liquor sales do not negatively impact sensitive community zones.
Rules for Granting liquor shop license by Delhi Government
As per the guidelines set by the Government of NCT of Delhi, an L-10 license for the retail sale of Indian and foreign liquor in shopping malls shall be granted on a first-come, first-served basis.
During scrutiny, if an application is found to be false, incomplete, or in violation of any prescribed terms and conditions, it will be summarily rejected. The decision of the Excise Commissioner in this regard shall be final and binding.
In the event of rejection, the earnest money deposit will be refunded to the applicant through registered post within 30 days from the date of rejection.
All applications are subject to verification by the competent authority, which reserves the right to accept or reject any application without assigning any reason. The licensing authority is not bound to approve every application received, even if all formalities appear to be fulfilled.
Pricing and Operational Guidelines for Retail Sale of Liquor in Delhi (L-10 License)
1. Pricing Regulations
L-10 license holders are strictly required to sell liquor brands only at the Maximum Retail Price (MRP) as approved and notified by the Excise Commissioner. Any form of overcharging or undercharging from the prescribed price is considered a serious violation and may result in cancellation or suspension of the license.
2. Dry Day Restrictions
The Government of NCT of Delhi declares specific days as “Dry Days”, during which the sale of liquor is strictly prohibited L-10 license holders must comply without exception—no relaxation or compensation shall be provided if the number of dry days increases during the license period.
3. Permissible Operating Hours
Retail liquor shops in Delhi are allowed to operate only during the fixed hours as per government policy. Approved timing: 10:00 AM to 10:00 PM.
Operating beyond these hours is a violation and may attract penalties under the Delhi Excise Rules, 2010.
4. Mandatory Barcode Billing System (ESCIMS)
All licensed liquor shops must use the ESCIMS (Excise Supply Chain Information Management System) barcode-based billing system, implemented by the Delhi Excise Department.
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Each liquor transaction must be billed using the barcode system.
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A proper receipt must be issued for every sale, and it must contain the following details:
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Name of the L-10 license holder
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Name and address of the customer
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Brand name, quantity, and batch number
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Date of transaction
This system helps track the quantity sold, brand details, and price digitally for every unit sold, improving inventory monitoring and compliance.
5. Maintenance of Stock and Records
L-10 license holders are required to stock only those liquor brands approved by the Deputy Commissioner of Excise.
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Daily sales and inventory records must be maintained in the prescribed format.
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Entries must be made in ink, using international numerals and in both English and Hindi.
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Accurate record-keeping is crucial for inspections and audits conducted by excise authorities.
Miscellaneous condition of the liquor shop license
In addition to primary licensing rules, the holder of an L-10 liquor shop license in Delhi must comply with several miscellaneous conditions to ensure smooth, lawful, and transparent operations. These include:
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Premises Integrity: The licensee must not make any structural changes, renovations, or extensions to the licensed premises without prior written approval from the Excise Department.
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Display of License and Information: The L-10 license must be prominently displayed at the shop, along with the approved price list of all liquor brands available for sale.
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Restriction on Consumption On-premises: No liquor shall be consumed within or near the shop premises. Consumption is strictly limited to off premises only, as per license conditions.
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Employee Conduct: Staff employed in the liquor shop must be of legal working age, and their conduct must be professional. Any involvement in illegal activity may lead to cancellation of the license.
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Sale to Underage Persons Prohibited: Sale of liquor to individuals below the legal drinking age (25 years in Delhi) is strictly prohibited. The licensee must verify the identity of buyers if necessary.
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Noise and Public Nuisance: The licensee must ensure that the shop does not cause public nuisance, noise, or inconvenience to nearby establishments or residents.
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Inspection and Cooperation: The licensee must allow authorized Excise Officers to inspect the premises, stock, and records at any time and offer full cooperation during such visits.
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No Subletting: The licensed premises or any part thereof must not be sublet, assigned, or transferred to another person without written permission from the licensing authority.
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Cleanliness and Safety: The premises must be kept clean, well-lit, ventilated, and fire safe. Any defects pointed out by the Excise Officer must be rectified promptly.
Formalities and Transport permit to L10 holder in Delhi
L-10 license holders in Delhi are mandated to procure liquor exclusively from authorized wholesale suppliers holding L-1 or L-1F licenses, and strictly at the rates approved by the Excise Department.
To legally transport liquor stock from these wholesalers, L-10 licensees must obtain a Transport Permit issued by the Delhi Excise Department. The issuance of this permit is contingent upon the advance payment of applicable excise duties and other levies, as prescribed under the Delhi Excise Act, 2009. This permit ensures lawful movement of liquor stock and is essential for compliance with excise regulations.
Renewal of License fee in Delhi
The Delhi Government has specified that the excise year runs from 1st April to 31st March. Accordingly, L-10 license holders must apply for license renewal within the designated time frame each year.
Renewal of the L-10 license is at the discretion of the licensing authority and is subject to payment of applicable fees and adherence to compliance requirements as prescribed from time to time.
For further assistance with the renewal process or new license applications, you may consult our experienced business advisors. We're here to guide you at every step.
Conclusion
Obtaining a liquor license online in Delhi is a structured process governed by the Delhi Excise Department to ensure legal, transparent, and responsible sale of alcohol. Whether applying for an L-10 retail license or additional permits like L-12 or L-49A, applicants must meet defined eligibility criteria, submit mandatory documents, and pay the applicable license and security fees. Adherence to rules regarding location, display, operations, and record-keeping is essential for compliance. By following the prescribed online procedures, businesses can efficiently secure their liquor license and operate lawfully within the capital's regulatory framework, avoiding penalties and ensuring smooth business operations.
If you have any queries regarding Company Registration, Trademark Registration, and any Business License, then you can connect with Compliance Calendar LLP experts through email info@ccoffice.in or Call/Whatsapp at +91 9988424211.
FAQs
Q1. How to apply for a liquor licence in Delhi?
Ans. To apply for a liquor license in Delhi, visit the e-District portal, complete the application form, upload necessary documents, and pay the prescribed fees. The Excise Department will verify the details before granting the license, subject to approval.
Q2. What is the new liquor policy in Delhi?
Ans. Delhi’s new liquor policy is yet to be finalized. Currently, the extended old policy continues, keeping liquor retail under government control while aiming for transparency, increased revenue, and better customer experience.
Q3. How to get a one-day liquor license online?
Ans. To get a one-day liquor license (P-10) in Delhi, apply online via the e-District portal, submit required documents, pay the applicable fee, and receive approval from the Excise Department.
Q4. What does a L-17 license in Delhi?
Ans. An L-17 license in Delhi allows independent restaurants to serve Indian and foreign liquor for on-premises consumption, including terraces, with liquor sourced from authorized wholesalers, under strict excise rules.