On Thursday, April 28, Maharashtra Deputy Chief Minister, Ajit Pawar while interacting with the media commented on Prime Minister Narendra Modi urging Maharashtra and other non-BJP ruled states to reduce VAT on petrol and diesel during a virtual meeting held on Wednesday, April 27.
Pawar was quoted elaborating on how a considerable GST amount is yet to be received from the Union. He added that while the Prime Minister urged that the tax on petrol and diesel be reduced, the state government did not increase any tax in the budget this year.
Maharashtra | A huge GST amount is yet to come from the Centre. PM appealed to reduce tax on petrol diesel yesterday, we did not increase any tax in the budget this year. We reduced tax on CNG due to which the state suffered a loss of Rs 1000 crores: Maharashtra Dy CM Ajit Pawar pic.twitter.com/MigJ1GZAkY
— ANI (@ANI) April 28, 2022
The Deputy Chief Minister said that they reduced tax on CNG because of which Maharashtra suffered a loss amounting to INR 1,000 crore.
The NCP leader further remarked that they could discuss petrol and diesel prices in the cabinet on Thursday. He is also anticipating that the Chief Minister, Uddhav Thackeray will apprise the cabinet about what transpired in the meeting yesterday with Modi.
Pawar added, "Everyone in the country has to accept that import oil is taxed first by Centre and then states, so the Center should also reduce tax."
Similarly, Shiv Sena leader, Sanjay Raut while talking to media persons, lashed out at the Centre and exclaimed that whilst the Chief Ministers were told that Modi would conduct a meeting on COVID-19, he instead non-BJP states CMs about fuel.
This he believes is not accurate. He vocalized, "PM Modi was not expected to do so but CM Uddhav Thackeray and Mamata Banerjee have given the answer", highlighted narratives.
In the meeting conducted on Wednesday, Modi urged non-BJP ruled states to curtail VAT on petrol and diesel.
However, Thackeray hinted that the state government won't cut VAT on fuel since it has already reduced it on natural gas and clarified that the Centre's share is INR 24.38 per litre and the state is INR 22.37 in diesel sold in Mumbai.
Whereas, in petrol Centre's share is INR 31.58 per litre and the state's is INR 32.55 per litre. Maharashtra gets 5.5 per cent of central tax. Maharashtra's share in total direct tax is 38.3 per cent.
— CMO Maharashtra (@CMOMaharashtra) April 27, 2022
Maharashtra collects the highest GST of 15 per cent in India. Combining both direct taxes and GST, Maharashtra is the number one state in the country. Despite this, the state still owes about INR 26,500 crore in GST arrears, Thackeray uttered.
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