Tamil Nadu to require digital payments for liquor bills above ₹1,000

Tamil Nadu’s state-run liquor retailer TASMAC will require digital payments for purchases exceeding ₹1,000 from November 1, 2026, according to reports describing an official circular. The measure covers its 4,048 retail outlets and forms part of a phased effort to reduce cash handling and improve accountability in liquor sales.

The threshold will fall to purchases exceeding ₹500 from January 1, 2027, The New Indian Express reported. Its report cited an October 26 circular issued by TASMAC managing director K Nanthakumar, directing officials to implement the prescribed payment arrangements across the retail network. Purchases within the applicable limits will retain a cash-payment option, according to a TASMAC official quoted by PTI.

Customers making purchases above the thresholds will need to use UPI, debit cards or credit cards through the corporation’s designated payment infrastructure. DT Next reported that the circular requires transactions to pass through point-of-sale machines linked to TASMAC’s designated bank account. Employees are prohibited from accepting money through personal UPI IDs, QR codes or individual bank accounts.

The change addresses operational problems associated with handling substantial amounts of physical currency. A senior TASMAC official told PTI that cash remained the dominant payment method despite digital options already being available. The official cited security risks during cash transportation, accounting discrepancies and the possibility of counterfeit currency as reasons for strengthening electronic payments.

Complaints about customers being charged above the maximum retail price are another stated reason for the directive. According to PTI’s report, the official said digital transactions would provide records of payment amounts and timestamps while directing sales revenue into official accounts. Those records are intended to improve traceability; the reports do not establish that the payment change alone will eliminate overcharging.

Billing and verification requirements accompany the payment restrictions. Outlet supervisors must issue physical bills for purchases and verify payment on official point-of-sale machines before handing over bottles, the official told PTI. DT Next also reported that amounts charged must correspond to the applicable maximum retail price, making the billing process an important part of the accountability measures.

Implementation will require functioning equipment and staff preparation across the network. The New Indian Express reported that outlets must have bank-connected point-of-sale machines ready before November 1, with technical problems addressed alongside service providers. DT Next said district managers had also been instructed to train employees in digital transactions and reconciliation and display notices explaining the payment system.

The next milestones are the November rollout and the lower threshold scheduled for January. District managers and head-office officials will monitor compliance, according to the reported circular, while supervisors must escalate complaints and violations. DT Next reported that customers can raise overcharging complaints and other irregularities through the toll-free number 1800 889 2015.