16
REPORT OF THE INDIAN HEMP DRUGS COMMISSION, 1893-94.
[APP.
Earliest rules.
APPENDIX A.
(SEE PARAGRAPH 30 OF MEMORANDUM.)
Brief historical sketch of the modes of taxation of ganja.
It will appear from paragraph 1, section XI of Harrington's Analysis, Vol. III (1817),
that with a view to check immoderate consumption, and at
the same time to augment the public revenue, it was judged
expedient to continue and extend the duties levied on liquors and drugs, when the sayer collec-
tions were resumed from the landlords in the year 1790. Rules and orders were accordingly issued
from time to time which were subsequently enacted with modifications in Regulation XXXIV,
1793, as regards the Lower Provinces. It was enjoined in section XVIII of this Regulation
that "no person shall manufacture or vend any such drugs ('bhang, ganja, charas, and other
intoxicating drugs') without a license from the Collector of the zillah."
Daily rates of license fees.
2. In section II of Regulation VI of 1800 the following
daily rates of duty on the sale of intoxicating drugs were laid
down:—
Rs. A.
For cities (Dacca, Murshidabad, Patna, and Benares)
1 0
Towns or villages (1st class)
0 12
"
(2nd " )
0 8
"
(3rd " )
0 4
It is noteworthy that the manufacture and vend of "charas" (as well as that of madak)
were prohibited by section 8 of this Regulation as "being of a most noxious quality."
Unlicensed sale of intoxicating drugs was again prohibited by section 17 of Regulation X
of 1813, and vendors were enjoined to pay a daily tax for their licenses. The sale of charas
was again prohibited.
Farming system.
3. Section 8 (1st clause) of Regulation VII of 1824 authorized the Board of Revenue to
sanction the grant of leases of the duties leviable on the
manufacture and sale of spirits, drugs, &c. Section 15
permitted the retail sale of charas under the same rules and restrictions as ganja, &c.; it was
said that the restriction was withdrawn, as this drug was found on examination to be not
more prejudicial to health than ganja or other intoxicating drugs.
Limits of retail sale.
4. In section 5 of Act XI of 1849 (I.C.), which was passed "for better securing the
abkari revenue of Calcutta" the present limits of retail sale
of ganja, bhang, charas, and other hemp-drugs, &c., were
fixed. This provision was extended to the whole of Bengal by section 35 of Act XXI (I.C.) of
1856.
5. From the beginning of British rule up to the year 1853, hemp-drugs were taxed by
means of a daily tax on its retail sale, and it appears from section 4 of Regulation VI of 1800
that it was paid monthly and on the last day of each month of the Bengali (or fasli) year.
With the introduction of the farming system in 1824, it was usual to farm out the excise
revenue of entire districts. This continued till 1847.
Fixed duty system.
6. From 1853 the daily tax was abolished and a duty at Re. 1 per seer was imposed, and
the retailer had to pay the full amount on a certain specified
quantity in each month, whether he took it all or not. A
series of rules called "Abkari Series" were subsequently framed by the Board in 1857, from
which extracts are given below, which will show how the revenue was collected during the
period of the fixed duty system:—
(Settlements—Ganja—clauses 16 to 20.)
"16. Retail vendors will engage to take supplies sufficient for a specified daily consump-
tion and to pay tax at the rate of one rupee per seer upon such specified quantity."
"17. Retail vendors will pay their tax at such fixed intervals, not exceeding twice a month,
as the Collector may determine, and will take their supplies from any registered golah or from
a despatch in transit, under passes or delivery orders which will be granted by the Collector to
the extent specified in their pattahs."
"18. If any extra quantity be required, a pass or order for such extra quantity will be
granted on payment of duty at the rate of one rupee per seer."
"19. No tax or fee in excess of the one rupee per seer will be required from retail vendors.
The settlement of the ganja mahal will thus be on the same principle as that of the spirit
mahal under the sadar distillery system, the license specifying the quantity of ganja to which
the retail vendor is entitled at the rate of one rupee per seer, with the privilege of taking
further supplies under extra passes on payment of extra duty."