Latest Expert Exchange Queries
sitemapHome | Registration | Job Portal for CA's | Expert Exchange | Currency Converter | Post Matrimonial Ads | Post Property Ads
 
 
News shortcuts: From the Courts | News Headlines | VAT (Value Added Tax) | Service Tax | Sales Tax | Placements & Empanelment | Various Acts & Rules | Latest Circulars | New Forms | Forex | Auditing | Direct Tax | Customs and Excise | ICAI | Corporate Law | Markets | Students | General | Indirect Tax | Mergers and Acquisitions | Continuing Prof. Edu. | Budget Extravaganza | Transfer Pricing
 
 
 
 
Popular Search: Central Excise rule to resale the machines to a new company :: due date for vat payment :: cpt :: empanelment :: ICAI offer Get Windows 7,Office 2010 in Rs.799 Taxes :: ARTICLES ON INPUT TAX CREDIT IN VAT :: ACCOUNTING STANDARD :: ACCOUNTING STANDARDS :: articles on VAT and GST in India :: list of goods taxed at 4% :: TDS :: form 3cd :: TAX RATES - GOODS TAXABLE @ 4% :: VAT Audit :: VAT RATES
 
 
« Sales Tax »
 Tax on high seas sales becomes dispute area
  State extends GST enrolment deadline
 State extends GST enrolment deadline
 To protect its status, state forms panel to draft legislation on GST
 India Fails to Break Deadlock on New Sales Tax
 Sales tax staff protest against goods service tax council
 Income tax survey on city jeweller
 Service tax levy to weigh on upstream companies’ earnings
 5 pc tax on online sales awaits Cabinet approval
 Amendment to Additional Sales Tax Act unconstitutional: High Court
 Maharashtra will soon achieve Rs one lakh cr sales tax : CM Devendra Fadnavis

Reduce sales tax, value added tax on fuel
June, 22nd 2010

Faced with the task of effecting a fuel price hike in view of the hardening of crude oil prices in the international market, Petroleum and Natural Gas Minister Murli Deora has written to the Chief Ministers to reduce and rationalise sales tax and value added tax (VAT) on petrol and diesel.

Mr. Deora pointed out that the rise in international oil prices exerted an upward pressure on the domestic prices of petroleum products.

The ad valorem rates of VAT imposed by the State governments further aggravate the impact of international oil prices on the consumer, he added.

Underscoring the commitment of the UPA government to ensure the supply of fuel to the common man at affordable rates, Mr. Deora said that to achieve this objective, the Centre had provided financial assistance of nearly Rs.30,000 crore to the oil marketing companies towards under-recoveries during 2009-10.

Mr. Deora pointed out that the VAT rates were very high in most States and needed to be reduced. In some States, the VAT on petrol and diesel were as high as 33 per cent and 24.7 per cent respectively.

Further, in the current taxation structure, VAT is levied by the State governments on an ad valorem basis, meaning that when the oil prices are high, the tax on the products is higher, rendering the product even more expensive.

To address this issue, the ad valorem component of the VAT could be converted into a specific component, at the current levels, Mr. Deora said. The Centre has already done away with the ad valorem component of excise duty on petrol and diesel and the excise duty has been made specific. It is desirable that the State governments undertake similar tax rationalisation on petrol and diesel [prices]. Seeking early action on the issue, Mr. Deora asked the Chief Ministers to review the subject at the earliest so that the tax reform could be implemented.

 
 
Home | About Us | Terms and Conditions | Contact Us
Copyright 2017 CAinINDIA All Right Reserved.
Designed and Developed by Binarysoft Technologies Pvt. Ltd.
Software Outsourcing Company Offshore Software Outsourcing Software Outsourcing Company India Offshore Outsourcing Company India Software BPO Software Business Process Outsourcing Software Outsourcing India Offsho

Transfer Pricing | International Taxation | Business Consulting | Corporate Compliance and Consulting | Assurance and Risk Advisory | Indirect Taxes | Direct Taxes | Transaction Advisory | Regular Compliance and Reporting | Tax Assessments | International Taxation Advisory | Capital Structuring | Withholding tax advisory | Expatriate Tax Reporting | Litigation | Badges | Club Badges | Seals | Military Insignias | Emblems | Family Crest | Software Development India | Software Development Company | SEO Company | Web Application Development | MLM Software | MLM Solutions