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Govt Hikes Excise Duty On Petrol, Diesel – Free PDF Download

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Govt Hikes Excise Duty On Petrol, Diesel – Free PDF Download_5.1

  • Retail prices of petrol and diesel had already gone up  in Delhi after a hike in VAT by the Delhi government.
  • After the hike in excise duties, the price of diesel  jumped by Rs 7.1 a litre and that of petrol rose by Rs 1.7 a litre in Delhi.
  • From 27% to 30% for petrol &
  • From 16.75% to 30% for diesel.
  • The special excise duty on petrol was hiked by  Rs 2 a litre to Rs 12 a litre & by Rs 5 a litre to Rs 9 a litre for diesel.
  • Road cess on both petrol and diesel has also been  increased by Rs 8 a litre to Rs 18 a litre.

Govt Hikes Excise Duty On Petrol, Diesel – Free PDF Download_6.1

Govt Hikes Excise Duty On Petrol, Diesel – Free PDF Download_7.1

REVENUE TO THE GOVERNMENT?

  • Roughly, every rupee hike in excise duty is expected to  yield Rs 13,000-14,000 crore annually.
  • This hike is expected to garner Rs 1.6 lakh crore  additional revenue.

Govt Hikes Excise Duty On Petrol, Diesel – Free PDF Download_8.1

SHOULD GOVERNMENT HAVE PASSED THE BENEFITS TO CONSUMER?

Q) Consider the following statements wrt taxes imposed by governments on Petrol & Diesel-

  1. VAT is imposed by Central Government and Excise duty is imposed by State government.
  2. Excise duty imposed on Petrol & Diesel is expressed in percentage

Which of the above statements are correct?

  1. 1 only
  2. 2 only
  3. Both 1 & 2
  4. None of the above

 
 

 

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Govt Hikes Excise Duty On Petrol, Diesel – Free PDF Download_4.1

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