Rising prices of petrol and diesel have created great problems for the common man. For this reason, the common man has to fall prey to inflation. In Delhi, Mumbai, Chennai and Kolkata, the price of petrol has crossed Rs 90 per liter. Rising prices of petrol and diesel have led to demands to bring them under the Goods and Services Tax (GST) again. According to experts, if petrol and diesel are kept at high rates of GST, current prices could be halved.
The central government is reportedly considering the matter. Finance Minister Nirmala Sitharaman and Petroleum Minister Dharmendra Pradhan have also hinted at this. At present both the fuels attract central government excise and state government VAT. The effect is that petrol in 35 states has gone up to Rs 90-100 per liter in different states.
The central government levies a duty of Rs 32.96 per liter on petrol and diesel and Rs 31.8 per liter on diesel. Although these two are the main sources of fuel for the state government. During the implementation of GST, the government keeps these two fuels out of their purview.