Ashok Gehlot urges Centre to reduce excise duty further on petrol, diesel
Rajasthan Chief Minister Ashok Gehlot on Thursday urged the Centre to reduce the Excise Duty further on petrol and diesel in order to bring down the inflation.
"With the reduction of Excise Duty by the Center, the VAT of the states is automatically reduced in the same proportion, yet we demand that the Center should reduce the Excise Duty more to reduce the inflation," tweeted the chief minister.
Gehlot said the reduction of VAT on petrol by ₹1.8 per litre and on diesel by ₹2.6 per litre will lead to a loss of state revenue worth ₹1,800 crore every year.
Gehlot urged Prime Minister Narendra Modi to reduce the Excise Duty further to provide relief to people from inflation. He said the Rajasthan government is ready to bear the loss of revenue for the welfare of the people.
In relief to consumers, the Finance Ministry on Wednesday announced a ₹5 per litre cut in excise duty on petrol and a ₹10 per litre cut in excise duty on diesel. Amid record-high fuel prices, this is the first cut in central excise duties in over three years.