We have no data on states slashing petrol products duty: Govt

Government Tuesday said that states were not required to report back on its request to reduce levies on petroleum goods and their response was not available with the Centre.

New Delhi: Government Tuesday said that states were not required to report back on its request to reduce levies on petroleum goods and their response was not available with the Centre.
     
"It (the letter written to state governments to slash levies on petroleum goods) was an advisory and states were not requested to report the action taken (by them).
     
The repines of the states and changes made in tax rate on these items are, therefore, not available with the central government", Minister of State for Finance S S Palanimanickam told Rajya Sabha in a written reply.
     
Following an increase in prices of diesel, kerosene and LGP in June, Finance Minister Pranab Mukherjee had written to the Chief Ministers of all states on June 26, requesting them to consider reducing state levies like sales tax and VAT to mitigate the impact of price hike on common man.
     
The prices of diesel and kerosene were raised by Rs 3 and Rs 2 per litre respectively and cooking gas by Rs 50 per cylinder to compensate the oil marketing companies for losses on account of sale of these products.
     
While increasing the prices of petroleum products, the Centre reduced customs and excise duties to partly neutralise the impact of such price hike on common man. The centre took a hit of Rs 49,000 crore per annum in the process.
     
Mukherjee wanted the states to take similar exercise and sacrifice part of their revenues.
     
Several states, including Delhi and West Bengal, reduced local levies to provide relief to the masses.

PTI

Zee News App: Read latest news of India and world, bollywood news, business updates, cricket scores, etc. Download the Zee news app now to keep up with daily breaking news and live news event coverage.