West Bengal govt reduces tax on petrol, diesel
Source：India Today
From：Taiwan Trade Centre, Kolkata
Update Time：2021/03/15
The West Bengal government has taken a decision to reduce tax on petrol and diesel by Re 1 per litre, effective from midnight of February 22.
Bengal finance minister Amit Mitra said the state government has decided to reduce tax in a bid to provide relief to citizens amid a sharp hike in petrol and diesel prices. As of today, petrol is retailing at Rs 91.78 in Kolkata, while a litre of diesel costs Rs 84.56.
"The Centre earned Rs 32.90 per litre in taxes from petrol (on February 20), while the state got around Rs 18.46 only. In case of diesel, the central government's earning was Rs 31.80 per litre as against about Rs 12.77 for the state," Mitra said. He also blamed that the Centre had imposed cess to avoid devolution with states, adding that it is against the “characteristics of federalism”.
In a tweet, the minister added that the tax rebate on petrol and diesel will be valid till June 30.
"To reduce the common man's burden, the state government has decided to allow rebate of Re 1 per litre on sales tax payable on sales of petrol and diesel w.e.f. the end of midnight of 22 February 2021 till 30th day of June 2021," Mr Mitra said. Petrol and diesel rates in the country have sharply increased after the latest round of fuel price hike by oil marketing companies (OMCs). Experts have said the continuous increase in fuel prices will have a widespread impact on citizens and the overall economy.
Petrol is now retailing above Rs 90 per litre in all major cities including Delhi and is on the verge of crossing Rs 100 in major cities. It has already hit a century in some circles. Diesel, too, has climbed to levels never seen before in the country.
The situation is so bad in some places that people are walking extra miles to buy cheaper fuel or smuggling it from neighbouring nations. A recent report indicated that some people in Bihar’s Araria and Kishanganj region are crossing the border to smuggle petrol from Nepal.
While India Today could not independently verify the report, the historic rise in fuel prices will definitely have a devastating impact on the economy, which is still recovering from the Covid-induced crisis.
Source：https://www.indiatoday.in/