"Both petrol-diesel prices must be brought under GST immediately", Chavan said. Petrol and diesel prices on Saturday were also hiked by 20 paise and 30 paise, respectively.
On Thursday, the Centre had announced a cut of Rs 2.50 per litre for petrol and diesel, urging states to match the price reduction. 1 drop by oil marketing companies, taking the cut in fuel prices to Rs. 2.50.
He said after the Centre's relief of Rs.2.50 per litre on diesel, the state government has chose to give a further relief Rs.1.56 per litre by way of taxes. Petrol and diesel rates in Hyderabad were at Rs 86.59 and Rs 79.67 respectively.
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Several states had announced reduction in fuel prices by cutting sales tax/VAT. The states where the prices have been decreased are Gujarat, Chhattisgarh, Tripura, Jharkhand, Uttar Pradesh, Madhya Pradesh, Maharashtra, Himachal Pradesh, Haryana, Assam, Arunachal Pradesh, Uttarakhand, Jammu and Kashmir and Goa, said reports.
The BJP government has increased central excise duty 12 times in the last four and a half years. Petrol in Maharashtra had crossed Rs 91 per litre and diesel was selling above Rs 80 per litre before the state and central government made a decision to lower taxes. However, the Central government had requested the States to reduce Value-Added Tax imposed by them on petrol and diesel to give relief to consumers. Chandigarh has reduced the fuel prices by Rs 1.50. The Centre, prior to the excise duty cur, levied a total of Rs 19.48 per litre of excise duty on petrol and Rs 15.33 per litre on diesel.
The hike in duties in 2014-16 had led to excise collections from petro goods rising from Rs 99,184 crore in 2014-15 to Rs 2,29,019 crore in 2017-18.