Govt earns 43% more by taxes on petro products in FY11
Govt earns 43% more by taxes on petro products in FY11
PTI ::: New Delhi, Sep 6: :::The government has no proposal “at this stage” to reduce taxes on petro products even as it earned Rs 1.02 lakh crore by way of taxes on these items in 2010-11, Parliament was informed on Monday. Also, there is no proposal to give additional subsidy on diesel to farmers, it was stated in the Rajya Sabha.“There is no such proposal at this stage,” Minister of State for Finance Mr S S Palanimanickam said in a written reply.
He was answering a specific question whether the Finance Ministry was planning to reduce taxes on petro products in the wake of steep inflation.
The government realised a total revenue of Rs 1.02 lakh crore by way of customs and central excise in 2010-11, showing a sharp rise of over 43 per cent over the previous year, according to the data given in his reply.Mr Palanimanickam said that the government has already eliminated basic customs duties on crude from 5 per cent. On petrol and diesel, the basic import duty has been reduced from 7.5 per cent to 2.5 per cent and on other petroleum products from 10 per cent to 5 per cent from June 25, 2011. Similarly, the basic excise duty on diesel has been abolished from Rs 2 per litre, the Minister added.In another reply, Minister of State for Finance Mr Namo Narain Meena said that the government has no proposal either to give additional subsidy on diesel to farmers.“No proposal to give additional subsidy on diesel to farmers is under consideration of the government,” he said.
