Petroleum products should be under GST: PHD Chamber

Last Updated: Mon, Dec 24, 2018 11:12 hrs
Petrol Pump (PTI image)

New Delhi: Hailing the GST Council's decision to reduce tax rates on several items and services, President of PHD Chamber of Commerce and Industry, Rajeev Talwar on Sunday urged the government and the council to consider bringing petroleum products under the ambit of Goods and Services Tax (GST).

"Considering the volatility in the international crude oil prices, petroleum products should also be considered under the GST to rationalise the impact of indirect taxes by subsuming VAT (Value Added Tax) and excise duties in GST," the industry body said in a statement quoting Talwar.

Currently, petrol and diesel are outside the purview of GST, and attract excise duty and VAT among other levies. Sector experts say, bringing the two under GST would lower their price, which this year surged to record levels, before taking a downturn in mid-October.

"Continuous reforms in the policy environment would pave the way for higher, sustainable and strong economic growth trajectory going forward," he added.

He also noted that a realistic, pragmatic and prudent policy approach would make India a tax-compliant country in the next few years.

"Reduction in tax rates on the items from TVs to movies tickets, marble rubble, frozen and preserved vegetables, among others is a great relief for every segment of the society," he said.

The GST Council in its 31st meeting on Saturday reduced the tax rates of 17 items and six services, including computer monitors, TV screens, video games, lithium-ion power banks, retreaded tyres, wheelchairs and cinema tickets.

With the latest rate cut announcement, only 28 items including cement, luxury and 'sin' goods remain in the highest tax bracket of 28 per cent.

"The shift in items from higher tax slabs to lower tax slabs is the visible intent of the government to constantly reforming the taxation system to make it more and more simple," Talwar said.

State Capitals (Applicable from 6:00 a.m. on 24-12-2018) Petrol Current Price(Per Lt) Petrol Previous Price(Per Lt) Change(Rs)
Petrol price in DelhiRs.70.07 Rs.70.27 -0.20
Petrol price in KolkataRs.72.16 Rs.72.36 -0.20
Petrol price in MumbaiRs.75.69 Rs.75.89 -0.20
Petrol price in ChennaiRs.72.70 Rs.72.91 -0.21
Petrol price in FaridabadRs.71.29 Rs.71.38 -0.09
Petrol price in GurgaonRs.71.06 Rs.71.02 0.04
Petrol price in NoidaRs.69.99 Rs.70.23 -0.24
Petrol price in GhaziabadRs.69.87 Rs.70.03 -0.16
Petrol price in AgartalaRs.67.08 Rs.67.11 -0.03
Petrol price in AizwalRs.66.88 Rs.66.78 0.10
Petrol price in AmbalaRs.70.67 Rs.70.85 -0.18
Petrol price in BangaloreRs.70.64 Rs.70.89 -0.25
Petrol price in BhopalRs.73.02 Rs.73.30 -0.28
Petrol price in BhubhaneswarRs.69.02 Rs.69.13 -0.11
Petrol price in ChandigarhRs.66.25 Rs.66.43 -0.18
Petrol price in DehradunRs.70.39 Rs.70.63 -0.24
Petrol price in GandhinagarRs.67.70 Rs.67.83 -0.13
Petrol price in GangtokRs.73.45 Rs.73.65 -0.20
Petrol price in GuwahatiRs.69.66 Rs.69.81 -0.15
Petrol price in HyderabadRs.74.31 Rs.74.53 -0.22
Petrol price in ImphalRs.66.33 Rs.66.52 -0.19
Petrol price in ItanagarRs.63.99 Rs.64.17 -0.18
Petrol price in JaipurRs.70.92 Rs.70.79 0.13
Petrol price in JammuRs.71.54 Rs.71.73 -0.19
Petrol price in JalandharRs.75.05 Rs.75.27 -0.22
Petrol price in KohimaRs.68.03 Rs.68.39 -0.36
Petrol price in LucknowRs.69.76 Rs.70.02 -0.26
Petrol price in PanjimRs.62.56 Rs.62.82 -0.26
Petrol price in PatnaRs.74.39 Rs.74.59 -0.20
Petrol price in Port BlairRs.60.65 Rs.60.81 -0.16
Petrol price in RaipurRs.68.54 Rs.68.64 -0.10
Petrol price in RanchiRs.69.02 Rs.69.11 -0.09
Petrol price in ShillongRs.67.52 Rs.67.51 0.01
Petrol price in ShimlaRs.69.17 Rs.69.49 -0.32
Petrol price in SrinagarRs.74.57 Rs.74.76 -0.19
Petrol price in TrivandrumRs.73.41 Rs.73.67 -0.26
Petrol price in SilvassaRs.68.50 Rs.68.69 -0.19
Petrol price in DamanRs.68.38 Rs.68.60 -0.22
Petrol price in PondicherryRs.69.34 Rs.69.56 -0.22

Source for prices: Indian Oil Corporation