Sunday 16 June 2024

News Analysed, Opinions Expressed

Economy | Finance

Petrol made cheapest in Goa


Goa becomes the first state to reduce taxes on petrol and diesel, making it cheapest in the country now, from 15 November midnight.

The recently installed Bharatiya Janata Party government, which includes half of defected Congressmen in it, has decided to respond to the appeal made in this regard by the central government.

Announcing it after its first cabinet meeting, chief minister Manohar Parrikar said both the petroleum products are reduced by three per cent, making petrol cheaper by 73 to 78 paise while diesel would be cheaper by 45 to 50 paise.

It would mean that petrol in Goa would now cost not more than Rs 29.12 per litre, which is much less than around Rs 32 charged in Karnataka and Rs 31 charged in Maharashtra.

Similarly, diesel in Goa would cost Rs 17.61 per litre, compared to over Rs 29 charged in Karnataka and Rs 20 in Maharashtra.

According to Parrikar, the new reduction policy would add around Rs 10 to 15 crore in the state coffers as the people from neighbouring states across the border as well as tourists coming here would prefer filling their tanks before leaving the state.

He also informed the journalists that union minister for petroleum and natural gas Ram Naik, during his Goa visit two days ago, had given his approval to reduce the uniform tax policy slab fixed by the centre earlier to make it possible.

Goa was charging 20 per cent sales tax on petrol, the minimum rate fixed under uniform tax policy, which is now being reduced to 17 per cent. Though tax on diesel was much higher than the 10 per cent slab under uniform tax, it is now reduced from 18 to 15 per cent.

Similarly, in another important policy decision, the government reversed its earlier decision by exempting small scale pharmaceutical units from imposition of entry tax on its raw materials and capital goods.

While reducing entry tax on almost 90 per cent products mentioned earlier to half per cent from two per cent, the multinational soft drink and chocolate industry however would be hit now with a decision to impose five per cent entry tax on cold drink concentrates and chocolate raw materials.

The major financial decisions taken today also includes withdrawals of additional tax on vehicles, cement, drugs and co-operative society products while making tax free the steel fabric as well as electronic goods sold by industries here through central government organisations like telecommunications, department of electronics and MTNL etc.

Similarly, sales tax on inter-state sale of IT products is being reduced to four per cent from 10 per cent, lubrication oil from 20 per cent to 12 per cent and furnace oil for industrial purpose from 18 to 16 per cent.

Claiming that these major decisions would send positive signals to the industries which are willing to come down to Goa, Parrikar also said it would result into increase in the state revenue from sales tax and entry tax by at least Rs 40 crore. is now on Telegram & also Youtube. Kindly subscribe for free & remain updated.

Verification Code Enter The Code Displayed hereRefresh Image




» PM Modi withdraws ...
» Petrol up by ...
» Goa would implement ...
» Goa’s growth rate ...
» Is it possible ...
» Union cabinet approves ...
» Parsekar reduces VAT ...
» Petrol up in ...
» Petrol little cheap, ...
» Banks may cut ...