PINAKI MAJUMDAR
Jamshedpur, Dec 20: The Jamshedpur Petroleum Dealers Association will join the strike called by Jharkhand Petroleum Dealers’ Association (JPDA), the umbrella association of the 1,400-odd fuel stations in the state, on December 21 on their demand of reduction of VAT being levied by the state government on each litre of petrol and diesel.
Alok Singh, a senior functionary of Jamshedpur Petroleum Dealers Association said they have sought
a reduction of VAT to 17 per cent from 22 per cent.
However, the association functionary turned down the proposal to reduce VAT on petrol, citing huge revenue losses which will be incurred by the state while remaining non-committal on reducing VAT on diesel.
Since 2016, the state government is realizing 22 per cent VAT on each litre (or Rs 17.5, whichever higher) and a Re 1 cess on each litre of petrol.
Likewise, VAT on each litre of diesel is 22 per cent (or Rs 12.5, whichever higher), along with a Re 1 cess.
The association sought the reduction of VAT by 5 per cent citing plummeting sales in heavy vehicle industries and industrial supplies.
There are around 300 fuel outlets in Kolhan comprising three districts – East Singhbhum, West Singhbhum and Seraikela- Kharsawan.
