#Excise Licensing

The Bombay High Court has ruled that cancelling an excise license for minor operational violations requires a reasoned assessment of proportionality and mandatory consideration of the licensee's reply. This sets a critical precedent for administrative fairness in licensing sanctions, protecting small licensees from disproportionate penalties without due process.

Chhattisgarh High Court rules that imposing excise licensing on molasses used for cattle feed, industrial purposes, or gudakhu exceeds state legislative competence under Entry 8 and 51 of the State List. The judgment reinforces that regulatory powers must align with constitutional boundaries, protecting traders from arbitrary restrictions on non-intoxicant commodities.