Good news! Government reduces tax on diesel and petrol to tackle inflation
Source :NewsBharati   Date :04-Oct-2017

New Delhi, October 4: In a massive relief, Central government has cut down the excise duty on diesel as well as petrol by 11.5% and 9.4% respectively, which sums up to Rs 2 per litre each.

In a statement, the Finance Ministry said the revenue loss on account of these reductions will be about 26 thousand crore rupees in a full year and about 13 thousand crore rupees during the remaining part of the current financial year. 

“The Government is monitoring the developments in the prices of Petrol and Diesel in the international as well as domestic market. The reduction will apply on both branded and unbranded Petrol and Diesel and is expected to provide much needed relief to the common man,” statement added.

In view of coming agricultural season harvesting of Kharif crops and sowing of Rabi crops; and in the interest of consumers, the PM Modi has taken the decision for giving relief to the farmers and consumers in general. State Governments are also being requested to make reduction in VAT imposed by them on Petrol and Diesel so as to give more relief to consumers.

In the past few weeks, the prices of Petrol and Diesel have been rising due to increase in their prices in the international market. The retail selling prices of Petrol and Diesel have touched Rs 70.88 per/ litre and Rs 59.14 per litre respectively at Delhi on October 3, 2017. As a result of reduction in excise duty, the decrease in prices of Petrol and Diesel will be Rs 2.50 per litre and Rs 2.25 per litre respectively at Delhi.