Cong demands reduction in VAT on petrol, diesel

Source: The Hitavada      Date: 10 Feb 2018 10:23:28


Staff Reporter,


Chhattisgarh Congress has demanded the State Government to reduce at least 5 per cent value added tax (VAT) on petrol and diesel and to end cess on petrol and diesel. Talking to media persons here on Friday, Chhattisgarh Pradesh Congress Committee (CPCC) Spokesman Ramesh Warlyani said that increasing prices of petrol and diesel had created a lot of problems for common people. At present, petrol and diesel are being sold at around Rs 74 per litre and Rs 70 per litre in the state, he added. Prices of essential commodities and transportation of goods services have increased, the Congress State Spokesman claimed.

In Prime Minister Narendra Modi regim, price of crude oil has been between 47 and 60 dollar per barrel while price of crude oil was between 110 and 130 in VAT on petrol, diesel dollar per barrel during former Prime Minister Manmohan Singh’s regime. In Manmohan regime, Rs 9.48 per litre and Rs 3.56 per litre excise duty were charged on petrol and diesel respectively while Rs 21.48 per litre and Rs 17.33 per litre excise duty are being charge in Modi regime. In UPA government, the government earned Rs 77982 crore revenue through excise duty while Rs 242691 crore is being earned through excise duty under NDA regime, he said. The NDA government has increased nine times excise duty on petroleum products and reduced only two times. If price of crude oil is compared with UPA and NDA governments, petrol and diesel should be sold at Rs 50 per litre and Rs 40 per litre respectively, Warlyani opined.

Chhattisgarh government is charging 25 per cent VAT on petrol and diesel. Moreover, 2 per cent cess and 1 per cent cess are being charged on petrol and diesel respectively in the state.

To give a relief to common people, Chief Minister Dr Raman Singh government should announce reduction of at least 5 per cent VAT on petrol and diesel and to end cess on petrol and diesel in his last state budget to be tabled in Vidhan Sabha on Saturday.

Only 4 per cent VAT is being charged on aviation fuel in the state. VAT should be increased by 20 per cent on aviation fuel to compensate its budget, he added. Congress demanded the Central government to bring petrol and diesel under Goods and Services Tax (GST) regime, the Spokesman said.