Jaipur: Chairman of the Ashok Minister Gehlot on Sunday said the government will hold a cabinet meeting on Tuesday to receive calls to reduce value added tax (VAT) on fuel.
The state government is under strong pressure from the opposition to cut VAT on fuel after reducing customs recently.
“I have written to PM Narendra Modi and Ministers of News Union Amit Shah to further reduce customs in fuel to stop competition for gasoline and diesel prices among countries.
This problem will be discussed in the cabinet and whatever might be done.
The state has reduced VAT differently, which has created a big difference in fuel prices, “said Gehlot.
He accused the center of increasing the fuel price of almost Rs 25 to RS 30 and then slashed it amounting to Rs 15-20.
Describing mathematical fuel and its implications, he said in countries have experienced slashes in their income due to the movement of the center to reduce customs.
“The reduction in customs in the middle will cause income loss around 1,800 crore Rs,” said Gehlot.
He slammed the union government to disrupt the principle of cooperative federalism by challenging and changing parts of the country in a sponsored scheme centrally.
“Previously, the portion was 80:20 between the center and the state.
It has now become 50:50 and places additional burdens in countries to carry out development jobs,” said Gehlot, who argued that the center must understand that the situation has limited sources for generate income.