Sindri: The Association of Petroleum Jharkhand Dealers on Saturday demands the state government to reduce VAT (Value Added Tax) on petroleum products at least 5 percent.
The Association of President Ashok Singh told reporters that if the Jharkhand government reduced VAT of 5 percent, it would cause the loss of Rs 3.61 per liter which amounted to RS 38 Crore a month, while it would produce more than Rs 95 Crore in the same term of the period due to increasing Sales of petroleum products.
“The income of the state government of petroleum products will increase at least Rs 600 Crore per year,” he said.
After the Central Government decided to reduce customs in petroleum products, 14 states, including those adjacent to West Bengal, Bihar, Odisha and Uttar Pradesh, have reduced VAT tariffs that lead to the decline in prices in these countries.
Jharkhand has not yet reduced VAT on petroleum products.
“As a result, the sale of petroleum products in Jharkhand has declined sharply,” Singh said and added that diesel sales in Jharkhand declined nearly 20 percent in October this year compared to the same period last year.
“The sale of petroleum products in Jharkhand has declined from 1.45 lakh kiloliters to 1.05 lakh as a booster of long-running vehicles such as trucks prefer to buy gasoline or diesel from neighboring countries Bihar and West Bengal because of higher taxes here , “he added.
After a tariff reduction, Bihar imposed VAT 16.37 percent on petroleum products while the level in Jharkhand was still established at 22 percent plus Re 1 Cess, which was the highest compared to all neighboring countries, Singh also had West Bengal also reduced VAT of RS 3 on petroleum products.
Singh accused the Government of Narendra Modi has made taxation on oil products that make people suffer because of increasing commodity prices important.
“Customs on gasoline is Rs 9.60 during the Upa Regime and Rs 3.60 at Diesel.
But the Government NDA takes it to Hospital 35 gradually.
This reduces customs from 2018 after adverse selection produces several countries and has re-signed it again after the results The recent polls concluded in some countries did not benefit him, “he thought.