Criticizing the Center for asking America to reduce VAT (value -added tax) on fuel, Telangana Minister of Industry and Trade KT Rama Rao on Wednesday demanded the central government cancel Cess petrol and diesel nationwide.
Telangana leader Rashtra Samithi (TRS) considers the Bharatiya Janata -ruled Center (BJP) responsible for the rise in petrol and diesel prices.
“Fuel prices have gone up because of the NPA (underperforming assets) of the Central government. Mention the state for not reducing VAT even though we never raised it; is this the cooperative federalism you said about Narendra Modi ji ?. Telangana did not increase VAT on fuel since 2014 and rounded up only once, ”Mr Rao wrote on Twitter.
“We did not get 41 per cent of our legal share because of Ces charged by your government. In the form of Cess, you robbed 11.4 per cent of the state and we only got 29.6 per cent for FY23. Please throw away Cess so we can give Petrol at Rs 70 and Diesel at Rs 60 across India. One Country – One Price? ” add KTR.
In view of the growing COVID case, Prime Minister Narendra Modi on Wednesday held a meeting with the Chief Ministers of all states through video conferencing and discussed various issues.
The Prime Minister asked the opposition-ruled states to follow the Center’s decision by reducing taxes on petrol and diesel to give relief to the people from the price increase.
“To ease the burden of rising petrol and diesel prices, the federal government has reduced excise duties last November. We have urged states to also reduce their taxes. Some states reduce taxes and provide benefits to consumers but some do not,” said PM Modi. in the meeting.
Naming the state’s ruling opposition party, PM Modi said, “Maharashtra, West Bengal, Telangana, Andhra Pradesh, Kerala, Jharkhand, and Tamil Nadu are not following the advice of the federal government and the people of the state are burdened with price hikes.”
“I ask these states to do now what they were supposed to do in November. By reducing VAT you can reduce the burden facing the population,” he added.
The federal government in November reduced excise duties on petrol and diesel by Rs 5 and Rs 10 respectively. Following the Center’s decision, 25 states and Union Territories, mostly ruled by the BJP or their allies have reduced VAT on petrol and diesel to giving relief to the consumer.
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