If you’re planning to sell, serve, or distribute alcoholic beverages in Delhi, obtaining a liquor license is a legal requirement you can’t overlook. Governed by the Delhi Excise Department, liquor licenses are mandatory for a wide range of establishments—including bars, restaurants, retail outlets, clubs, and even temporary event organizers.
To improve transparency and reduce procedural delays, the Delhi Government has introduced an online application portal for liquor licenses, making the process significantly more accessible and streamlined. However, applicants must still meet strict regulatory requirements, submit necessary documentation, and pay applicable government fees.
In this guide, we’ll walk you through the latest excise regulations, required documents, fee structure, and step-by-step procedure for obtaining a liquor license in Delhi.
What is a Liquor License?
A liquor license is an official permit issued by the Delhi Excise Department, authorizing individuals or businesses to manufacture, sell, or distribute alcohol legally within the city. Given the high demand for alcoholic beverages in Delhi—a leading metro and social hub—alcohol sales contribute significantly to state revenues.
In light of this, the Delhi Cabinet announced a revised Excise Policy on March 29, 2021, aiming to modernize the sale and consumption of alcohol while enhancing consumer experience and increasing regulatory oversight.
Types of Liquor Available in the Indian Market
In India, alcoholic beverages are broadly classified into two primary categories based on their manufacturing origin:
1. Indian Made Foreign Liquor (IMFL):
IMFL refers to alcoholic beverages produced within India that replicate the taste, quality, and standards of foreign liquors. Popular types under this category include whisky, vodka, rum, and gin. These spirits are manufactured by Indian companies and dominate the domestic liquor market due to their availability and affordability.
2. Imported Foreign Liquor (IFL):
IFL encompasses alcoholic drinks that are produced outside India and imported into the country. These products typically carry a higher price tag owing to import duties, branding, and premium positioning. IFL is preferred by a niche consumer segment seeking international labels and exclusive blends.
Why Is a Liquor License Mandatory?
To uphold public safety, maintain law and order, and regulate alcohol consumption, obtaining a valid liquor license is mandatory for any individual or business involved in manufacturing, selling, or serving alcohol. The authority to issue and monitor such licenses lies with the state’s excise department or alcohol regulatory body.
Licensing ensures accountability in alcohol distribution and helps curb illegal sale, underage drinking, and unregulated consumption. With the growing accessibility of alcohol — particularly among younger demographics and various income groups — a well-defined licensing framework becomes critical.
No entity is allowed to engage in alcohol-related activities without the necessary approvals. This applies not only to commercial outlets like wine shops, bars, and clubs, but also to individuals or event organizers planning to serve alcohol at private or public functions such as weddings, corporate events, and social gatherings.
Liquor License Process in Delhi
In Delhi, the process for applying for a liquor license has transitioned to a fully online system. As per a directive issued by the Delhi Excise Department in October 2017, all license applications must be submitted through the official digital portal — physical submissions are no longer accepted. This digitalization aims to enhance operational transparency, minimize bureaucratic delays, and promote compliance with excise regulations.
The online system covers various license categories for establishments such as restaurants, clubs, and event venues. Applicants are required to complete digital forms, upload supporting documents, and pay applicable fees directly through the portal, making the entire process more convenient and efficient.
Types of Liquor Licenses for Shops and Outlets in Delhi
The sale, distribution, and consumption of alcohol in Delhi are regulated under the Delhi Excise Act, 2009, with licenses issued by the Delhi Excise Department. Different licenses are granted based on the nature of the business—whether retail, wholesale, or service in hotels, clubs, or restaurants. Below is an overview of the key liquor licenses applicable in Delhi:
L-1 License – Wholesale License
This license is issued to entities involved in the wholesale distribution of Indian Made Foreign Liquor (IMFL). License holders can supply liquor to retail vendors (L-2) and hotels or bars (L-3).
L-3 License – Bottling Plant License
Granted via government tender, this license is for approved bottling plants authorized to bottle, label, and package alcoholic beverages for distribution, as sanctioned by central or state authorities.
L-6 License – Retail Vend of Indian Liquor
Issued primarily to government undertakings, this license permits the retail sale of IMFL in sealed bottles for off-premises consumption at authorized liquor shops.
L-7 License – Retail Vend of Foreign Liquor (Private Shops)
This license allows private retail vendors to sell foreign liquor and beer in sealed bottles for consumption off-site through privately owned liquor outlets.
L-9 License – Retail Vend of Foreign Liquor (Government Shops)
Government-operated liquor shops hold this license, authorizing them to sell foreign liquor and beer in sealed bottles strictly for off-premises consumption, under departmental regulations.
L-10 License – Departmental Store License
Eligible departmental stores can obtain this license to sell both Indian and foreign liquor in sealed bottles for off-site consumption, subject to compliance with location and infrastructure criteria defined by the Excise Department.
P-13 License – Temporary Permit for Licensed Premises
Allows licensed hotels, clubs, or restaurants to temporarily serve liquor during specific events on their premises, contingent upon prior approval and adherence to excise conditions.
L-15 License – In-Room Liquor Service for Hotels
Issued to star-rated, tourism-approved hotels, this license permits serving Indian and foreign liquor exclusively to resident guests in their rooms, ensuring controlled and private consumption.
L-16 License – Bar and Restaurant Liquor Service
Permits star-rated hotels to serve liquor within designated bars and restaurants on the premises, facilitating on-site consumption while complying with excise laws.
L-17 License – Restaurants and Hotels
Allows licensed restaurants and hotels to serve Indian and foreign liquor for on-premises consumption, subject to operational standards, seating capacity, and regulatory compliance.
L-28 License – Club Liquor Service License
Granted to registered clubs, this license permits serving Indian liquor exclusively to members within the club premises, with sourcing from authorized wholesalers as per excise regulations.
L-29 License – Club/Mess Liquor Service for Government Servants
Allows non-commercial clubs or messes to serve liquor exclusively to serving and retired government employees, under specific departmental rules.
L-49A License – Temporary License for Private Parties
Enables individuals to serve liquor at private parties or functions held at residences or private venues, valid for a single day within Delhi.
L-50 License – Temporary License for Public Events
Issued for cultural events, exhibitions, or public gatherings where liquor service is temporary. Organizers must comply with special excise department conditions.
L-10 License for Liquor Shops in Delhi
The L-10 License is a crucial authorization issued by the Delhi Government that permits the retail sale of liquor across the city. This license is mandatory for any individual or business entity intending to operate a liquor shop within Delhi’s jurisdiction. Obtaining the L-10 license requires meeting specific eligibility criteria, submitting necessary documentation, and following the official application procedure. Additionally, understanding the applicable license fees and regulatory requirements is vital to ensure smooth approval and ongoing compliance with the law.
Eligibility Criteria for Applying for the L-10 Liquor Shop License in Delhi
The L-10 License authorizes the retail sale of both Indian Made Foreign Liquor (IMFL) and imported foreign liquor. Applicants must satisfy the following conditions to qualify for this license:
- Legal Status of the Applicant:
The applicant must be a legally recognized entity, such as:- A company registered under the Companies Act, 1956
- A partnership firm registered under the Partnership Act, 1932
- A co-operative society registered under the relevant Co-operative Societies Act
- A sole proprietorship
- Restriction on Multiple Licenses:
- Only one L-10 license is issued per company, partnership firm, or co-operative society.
- In the case of sole proprietorships, the license is granted in the family name, and no other family member may hold an additional L-10 license.
- This restriction is exempted for public sector undertakings.
- Exclusive License Holding:
The L-10 license holder is prohibited from holding any other retail or wholesale liquor license, except if the entity is government-owned. - Minimum Age Requirement:
The applicant must be at least 25 years old, conforming with Delhi’s legal drinking age regulations. - Clean Legal Record:
Applicants must have no prior convictions under the Delhi Excise Act or any other relevant laws. Maintaining a clean legal record is mandatory. - Approved Business Premises:
The liquor shop must be situated within a commercially zoned area approved by the local municipal authorities.
The premises must also comply with minimum distance requirements from schools, hospitals, religious places, and other sensitive areas as specified by the Delhi Excise Department. - Financial Capability:
Applicants should demonstrate sufficient financial resources to sustain the liquor retail business and fulfill all licensing, operational, and tax obligations. - Required Documentation:
The application must include comprehensive documentation, such as:- Proof of identity and address
- Ownership or lease agreement of the premises
- No Objection Certificate (NOC) from the municipal authorities
- Health and trade licenses
- Fire safety certificate
- GST registration certificate
- Layout plan of the retail shop
Meeting all these conditions is essential for obtaining and maintaining the L-10 license to legally operate a liquor retail outlet in Delhi. Failure to comply with eligibility requirements or provide necessary documentation can lead to application rejection or license cancellation by the Excise Department.
Documents Required for Obtaining a Liquor Shop License in Delhi
To successfully apply for an L-10 liquor shop license in Delhi, applicants must submit a comprehensive set of documents that verify their identity, legal compliance, and business legitimacy. The key documents required include:
- Recent passport-sized photograph of the applicant
- Valid identity proof such as Aadhaar Card, PAN Card, or Passport
- Valid address proof including utility bills or Voter ID
- Proof of lawful possession of the proposed liquor shop premises (ownership deed, lease deed, or rent agreement)
- Detailed layout plan of the liquor shop clearly showing dimensions and shop configuration
- No Objection Certificates (NOCs) from the State Fire Department and the Municipal Corporation
- Completed application form with detailed personal and business information
- Latest Income Tax Return (ITR) along with an Income Tax Clearance Certificate
- Affidavit declaring no criminal record against the applicant
- Additional affidavits as necessary, affirming compliance with excise laws and eligibility criteria
These documents are essential for the verification of the applicant’s legal standing, financial capability, and adherence to regulatory requirements throughout the licensing process.
Procedure to Apply for an L-10 Liquor Shop License in Delhi
Applying for the L-10 license involves a series of well-defined steps administered by the Deputy Commissioner of Excise, Delhi. The process includes:
- Submission of Application and Documents:
The applicant must submit a duly filled application form along with all required supporting documents to the Deputy Commissioner of Excise. This package includes identity proofs, business details, affidavits, and other compliance certificates. - Proof of Shop Possession:
Valid proof demonstrating lawful possession of the intended liquor shop premises must be provided. This could be a property ownership document, a lease agreement, or a rent agreement. - Affidavit of Physical Possession:
A notarized affidavit affirming that the applicant physically occupies and controls the proposed shop premises is mandatory. - Layout Plan Submission:
A detailed layout plan of the shop must be submitted, clearly illustrating the physical dimensions and the internal arrangement of the retail space. - Additional Declarations and Certificates:
The applicant must also provide an Income Tax Clearance Certificate and a Domicile Certificate confirming their residency status within the jurisdiction of Delhi. - Demand Draft Submission:
An application processing fee in the form of a Demand Draft (DD) of Rs. 8,00,000 payable to the Deputy Commissioner (Excise) must be submitted as part of the licensing procedure. - Compliance with Rule 23:
The application undergoes scrutiny under Rule 23 of the Delhi Excise Rules, 2010 to confirm there are no legal disqualifications or violations linked to the applicant or the premises. - Grant of License:
Upon successful verification of documents and fulfillment of all procedural requirements, the Excise Department issues the L-10 license, allowing the licensee to commence legal retail operations.
Minimum Carpet Area Requirement for Liquor Shops in Delhi
For operating a liquor shop under the L-10 license, the minimum carpet area required is 500 square feet. The premises must be situated within a commercially approved zone as designated by the municipal authorities. The shop layout should effectively allocate space for product display, storage, and customer service counters.
Furthermore, the location must comply with mandatory distance regulations, maintaining sufficient separation from schools, hospitals, religious institutions, and other sensitive establishments, in line with the Delhi Excise Rules, 2010, and municipal zoning laws.
Interior Layout and Shop Design Requirements
- The applicant must submit a detailed interior layout plan of the proposed liquor shop.
- The shop floor should prominently display liquor brands alongside their price lists for full customer transparency.
- Interiors must ensure proper lighting, clean flooring, and high hygiene standards to create a safe and welcoming retail environment.
- The premises must be fully insured against fire and natural hazards.
- The licensee is responsible for keeping the shop clean and dry, following directions issued by the Excise Commissioner.
Restricted Areas for Liquor Shops in Delhi
- Liquor shops cannot be established in or near residential neighborhoods to maintain public order.
- It is strictly prohibited to open liquor shops within 50 to 100 meters of any places of worship or educational institutions, especially within municipal corporation limits.
- These restrictions safeguard sensitive community zones from the adverse effects of alcohol sales.
Rules for Granting an L-10 Liquor Shop License
- Licenses for retail sale of liquor in shopping malls and other premises are issued on a first-come, first-served basis.
- Applications that are false, incomplete, or violate terms will be rejected outright.
- The decision of the Excise Commissioner is final and binding.
- If rejected, the earnest money deposit will be refunded within 30 days via registered post.
- The licensing authority reserves the right to accept or reject any application without assigning reasons.
- Approval is not guaranteed even if all formalities are met.
Pricing and Operational Guidelines for L-10 License Holders
1. Pricing Regulations
- Liquor must be sold at the Maximum Retail Price (MRP) as approved by the Excise Commissioner.
- Any overcharging or undercharging is a serious violation and may result in license suspension or cancellation.
2. Dry Day Compliance
- Licensees must comply with “Dry Days” declared by the Delhi Government, during which liquor sales are completely prohibited.
- No compensation or relaxation is provided for dry days within the license period.
3. Operating Hours
- Retail shops may operate only from 10:00 AM to 10:00 PM.
- Operating beyond these hours will attract penalties as per Delhi Excise Rules, 2010.
4. Mandatory Barcode Billing System (ESCIMS)
- All sales must be billed using the Excise Supply Chain Information Management System (ESCIMS) barcode-based system.
- Each bill must include:
- Name of the L-10 license holder
- Customer’s name and address
- Brand name, quantity, and batch number
- Date of transaction
- This system ensures digital tracking of sales and inventory for regulatory compliance.
5. Stock and Record Maintenance
- Licensees must stock only approved liquor brands authorized by the Deputy Commissioner of Excise.
- Daily sales and inventory records must be maintained in ink using international numerals, both in English and Hindi.
- Accurate record-keeping is mandatory for inspections and audits.
Miscellaneous Conditions for L-10 License Holders
- Premises Alteration: No structural changes or renovations without prior written approval from the Excise Department.
- License Display: The L-10 license and approved price list must be prominently displayed at the shop.
- No On-Premises Consumption: Liquor consumption is strictly prohibited within or near the shop premises; sales are for off-site consumption only.
- Employee Conduct: All employees must be of legal working age and maintain professional conduct.
- Prohibition of Sale to Minors: Sale to individuals under 25 years of age is strictly prohibited, with mandatory ID verification.
- Noise and Public Nuisance: Licensees must ensure the shop does not cause any noise or nuisance affecting neighbors.
- Inspection Compliance: Licensees must allow authorized Excise Officers to inspect the premises, stock, and records anytime and cooperate fully.
- No Subletting: The licensed premises cannot be sublet, assigned, or transferred without written permission.
- Cleanliness and Safety: Shops must remain clean, well-lit, ventilated, and fire-safe; any defects identified by officials must be promptly addressed.
Formalities and Transport Permit for L-10 License Holders in Delhi
Procurement and Transport of Liquor Stock
- L-10 license holders in Delhi must procure liquor only from authorized wholesale suppliers holding L-1 or L-1F licenses.
- Purchases must be made at prices strictly approved by the Delhi Excise Department.
- To legally transport liquor from these wholesalers to their retail outlet, L-10 licensees are required to obtain a Transport Permit issued by the Delhi Excise Department.
- The Transport Permit issuance is conditional upon the advance payment of applicable excise duties and other levies as prescribed under the Delhi Excise Act, 2009.
- This permit ensures the lawful movement of liquor stock and is mandatory for compliance with excise regulations.
Renewal of L-10 License Fee and Procedure
- The excise year in Delhi runs from 1st April to 31st March.
- L-10 license holders must apply for license renewal within the prescribed timeframe each year to maintain uninterrupted retail operations.
- Renewal is subject to:
- Payment of the applicable renewal fees.
- Fulfillment of all compliance and regulatory requirements.
- Approval at the discretion of the licensing authority.
- Timely renewal is essential to avoid penalties or cancellation of the license.
Conclusion
Obtaining and maintaining an L-10 liquor shop license in Delhi follows a structured and transparent process regulated by the Delhi Excise Department to ensure legal and responsible sale of alcohol. Whether applying for a new license or renewal, applicants must meet eligibility criteria, submit necessary documentation, and comply with location, pricing, display, and record-keeping rules.
By following the prescribed procedures and timely compliance, businesses can efficiently secure and retain their liquor license, ensuring smooth operations while avoiding legal hurdles.
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Frequently Asked Questions (FAQs)
Q1. How do I apply for a liquor license in Delhi?
Ans: To apply for a liquor license in Delhi, visit the official e-District portal, fill out the application form, upload the required documents, and pay the prescribed fees. The Delhi Excise Department will verify your submission before granting the license, subject to approval.
Q2. What is the new liquor policy in Delhi?
Ans: Delhi’s new liquor policy is still under development. Currently, the extended old policy remains in effect, which maintains government control over liquor retail while focusing on transparency, increased revenue, and an improved customer experience.
Q3. How can I get a one-day liquor license online in Delhi?
Ans: To obtain a one-day liquor license (P-10) in Delhi, apply online through the e-District portal, submit the required documents, pay the applicable fee, and await approval from the Excise Department.
Q4. What is an L-17 license in Delhi?
Ans: The L-17 license permits independent restaurants in Delhi to serve Indian and foreign liquor for on-premises consumption, including terrace areas. Liquor must be procured from authorized wholesalers and operations must comply with all excise regulations.
Q5. What documents are required to apply for an L-10 liquor shop license in Delhi?
Ans: You need to submit identity and address proof, proof of shop possession (ownership or lease deed), No Objection Certificates from fire and municipal authorities, detailed shop layout plans, income tax returns, affidavits declaring no criminal record, and other prescribed documents.
Q6. What is the minimum carpet area required for a liquor shop under L-10 license in Delhi?
Ans: The minimum carpet area for an L-10 licensed liquor shop in Delhi is 500 square feet, located in a commercially approved area with compliance to distance restrictions from schools, hospitals, and places of worship.
Q7. Can an L-10 license holder operate multiple liquor shops?
Ans: No, under Delhi Excise rules, only one L-10 license is issued per company, firm, or sole proprietorship family. Public sector undertakings are exempted from this restriction.
Q8. How much is the fee for an L-10 liquor shop license in Delhi?
Ans: The application fee for the L-10 license includes a non-refundable earnest money deposit of Rs. 8,00,000. Additional fees and renewal charges apply as per the Delhi Excise Department’s guidelines.
Q9. What are the operating hours for liquor shops under L-10 license in Delhi?
Ans: Retail liquor shops are permitted to operate from 10:00 AM to 10:00 PM. Operating outside these hours is prohibited and may result in penalties or license suspension.
Q10. How can I renew my L-10 liquor license in Delhi?
Ans: Renewal applications must be submitted annually before the expiry of the current license. Payment of renewal fees and compliance with all licensing conditions is mandatory. Renewal is subject to the discretion of the licensing authority.
Q11. Is it mandatory to use the barcode billing system for liquor sales in Delhi?
Ans: Yes, all licensed liquor shops must use the Excise Supply Chain Information Management System (ESCIMS) for barcode-based billing to ensure transparency and traceability of liquor sales.
Q12. Can liquor be consumed inside the liquor shop premises under L-10 license?
Ans: No, consumption of liquor within or near the shop premises is strictly prohibited under the L-10 license terms. Sales are for off-premises consumption only.