Bhubaneswar: The tax collected on fuel is utilised by the Odisha government for welfare activities.
Raising the issue of hike in fuel prices, the Opposition today asked the state government to reduce the tax on fuel to reduce burden on the common man. In its reply the government said the tax being levied by Odisha is less than the Central government.
The price rise has been triggered due to unprecedented price rise on diesel and petrol effected by the Centre and state government. The Opposition members therefore demanded reduction in tax on the fuel to ease the burden on the poor consumers.
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Replying to the debate raised through an Opposition sponsored adjournment motion, Finance Minister Niranjan Pujari said Goods and Service Tax (GST) had not been imposed on crude oil, petrol, diesel, aviation fuel, natural gas and edible liquor.
The Centre is collecting Rs 32.90 paise from fuel while the state government is levying Rs 21.40 paise towards 32% VAT on it.
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