India News | Central Taxes on Petrol Have Tripled in Last 8 Yrs: YSRCP MP
Get latest articles and stories on India at LatestLY. Central taxes on petrol have tripled under the last eight years of the present government, and states get only 2 per cent revenue share from the total tax imposed on it, a YSR Congress Party member said in Rajya Sabha on Thursday.
New Delhi, Mar 24 (PTI) Central taxes on petrol have tripled under the last eight years of the present government, and states get only 2 per cent revenue share from the total tax imposed on it, a YSR Congress Party member said in Rajya Sabha on Thursday.
YSR Congress Party member V Vijayasai Reddy during special mentions said the cess on petrol has increased to 95 per cent from 56 per cent in last five years which are not shared by the Centre with the states.
Also Read | Coal Scam: TMC MP Abhishek Banerjee Summoned Again By ED on March 29.
"High petrol prices have been burning a massive hole in common man's pocket. The centre may blame it on the price rise in global crude oil prices but the reality remains that the central taxes on petrol have tripled in the last 8 years of the present government," Reddy said.
He said in 2014, consumers were paying Rs 9.48 as tax per litre of petrol whereas today they are paying Rs 27.9.
"Overall, the Centre has increased its total revenue from the petroleum product by 223 per cent from Rs 1.15 lakh crore in 2014-15 to 3.72 lakh crore in 2021. The centre has also appealed to states to reduce VAT on petrol, but out of every Rs 100 it earns from tax on petrol, it shares just Rs 2 with the state. The Centre has done this by heavily increasing cesses on petrol which are not shared with the states," Reddy said.
State-owned Indian Oil Corporation (IOC), Bharat Petroleum Corporation and Hindustan Petroleum Corporation (HPCL) on March 22 and March 23 raised petrol and diesel prices by 80 paise per litre each, but paused the increase on Thursday.
Reddy said in just five years, cesses have increased from 56 per cent to 95 per cent of the total central taxes on petrol which is the highest till date.
"To compensate for this shrinking revenue, the states have been forced to increase VAT on petrol. There is an urgent need to restructure the taxes on petrol to reduce the burden on consumers and to make tax sharing with the states more equitable. Thus, I urge the present government to take necessary steps for reducing the overall taxes on petrol and make cesses on petrol shareable with the states," he said.
(The above story is verified and authored by Press Trust of India (PTI) staff. PTI, India’s premier news agency, employs more than 400 journalists and 500 stringers to cover almost every district and small town in India.. The views appearing in the above post do not reflect the opinions of LatestLY)