New Delhi: PM Narendra Modi in a meeting with the Chief Ministers on Wednesday had requested to give relief to the common man by cutting VAT tax on petrol and diesel. According to sources, after this appeal of Prime Minister Modi, now the Finance Department of Maharashtra seems to be coming into action. In the meeting of the Maharashtra Cabinet today, a proposal to cut VAT tax on petrol is going to come, for which the Finance Department has assessed the impact on the government treasury, for which the Finance Department has prepared a note. According to the Finance Department of Maharashtra, if the state government cuts the price of petrol by ₹ 1 per liter, then a burden of Rs 121 crore will fall on the coffers of the government.
On the other hand, if there is a deduction of ₹ 2 per liter, then the Finance Department has estimated an additional burden of Rs 243 crore. If there is a deduction of ₹ 5, then the government will have a loss of Rs 610 crore. However, this proposal was approved in the cabinet and only if the Chief Minister gave permission, the decision to cut VAT tax would be taken in the state. Taking the names of some states in the meeting, Prime Minister Modi openly said that he did not reduce VAT due to which the prices of petrol and diesel in those states are higher than their neighboring states. None of the states the Prime Minister named is ruled by the BJP.
Prime Minister Modi said that in November last year, the Central Government had reduced the excise duty on petrol and diesel and asked the states to reduce VAT. But many states did not do so. Modi said, 'I am not criticizing anyone. Rather, I am praying for the well being of the people of your regions. PM Modi further named Maharashtra, West Bengal, Telangana, Andhra Pradesh, Kerala, Jharkhand, Tamil Nadu and said that they did not listen to the words of the central government for one reason or the other, meaning they did not reduce VAT, whose direct burden was falling on the general public. PM Modi also said that some states did not reduce VAT, which was a loss to the neighboring states which reduced VAT on petrol and diesel. I am praying for the well being of the people of the state.
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