State Government has doubled the annual privilege fee for FL2 licence holders in Chennai
Chennai: The State Government has doubled the annual privilege fee for FL2 licence holders in Chennai from Rs 15 lakh to Rs 30 lakh, the GO is issued by Additional Chief Secretary K Manivasan on 25th June 2026.
The fee increased for clubs in other urban local bodies by amending the Tamil Nadu Liquor (Licence and Permit) Rules, 1981. Under the revised fee structure, FL2 licence holders in corporations with a population above 10 lakh will have to pay Rs 25 lakh annually. While in corporations with a population below 10 lakh will have to pay Rs 20 lakh.
The annual privilege fee for clubs in municipalities has been fixed at Rs 15 lakh. The exercise may bring in additional revenue of Rs 200 crore to Rs 300 crore every year. There is no change in the fee for licence holders in other areas. The amendment retains the application fee at Rs 10,000 and the licence fee at Rs 30,000.
Speaking to the media persons and official from excise department said that the earlier fee structure had only two slabs i.e., Rs 15 lakh and Rs 10 lakh. We have now introduced five slabs covering Chennai, corporations and municipalities. The revision is aimed at increasing the state’s revenue by classifying FL2 clubs based on their location, he added.
An FL2 licence is issued by the Commissionerate of Prohibition and Excise to non-proprietary recreational clubs, allowing them to possess and serve liquor exclusively to their members. A club must have at least 50 members willing to consume liquor to obtain the licence. Tamil Nadu has around 850 FL2 clubs, including about 25 in Chennai.