PM Modi in his recent address to the nation on Wednesday said flagged the issue of high fuel prices in some opposition-ruled states and also urged these states to cut tax on petrol and diesel prices to provide relief to the consumers.
This has called for a debate among party leaders in the country. States are blaming the Centre while the Centre is blaming the state government for overcharging.
Let us analyze: Who is charging more from our pocket on petrol, diesel? Centre or State?
If the capital Delhi is considered as the standard, then according to the data available on Indian Oil on April 16, 2022, about 53 percent (Rs 56.32) in petrol is its base price. Apart from this, there is 16 percent VAT (Rs 17.13) and 27 percent Central Excise Duty (Rs 27.90). Apart from this, the remaining 4 percent is dealer commission (Rs 3.86) and freight (Rs 0.20). That is, in Delhi, more tax goes to the centre than the state. A person has shared the complete calculation on Twitter.
Talking about states, Maharashtra ( ₹52.5), Andhra Pradesh ( ₹52.4), Telangana ( ₹51.6), Rajasthan ( ₹50.8), Madhya Pradesh ( ₹50.6), Kerala ( ₹50.2), and Bihar ( ₹50) --- half of what customers pay is collected as tax, according to stats of India.
In three states, Maharashtra, Andhra Pradesh and Telangana, state taxes are higher than central excise duty tax.
Hardeep Singh Puri, Minister for Petroleum and Natural Gas wrote on Twitter, "The truth hurts, but facts speak for themselves. Maharashtra Govt has collected ₹79,412 crore as fuel taxes since 2018 & is expected to collect 33,000 cr this year. (Adding up to a whopping ₹1,12,757 cr). Why did it not reduce VAT on petrol & diesel to provide relief to people?"
Know the amount of Tax you pay per liter of petrol charged by different states of India:
