Congress oppose govt’s decision to hike VAT on petrol, diesel

Syllad | The Rising MeghalayaApril 23, 2020

Leader of Opposition Mukul Sangma on Thursday demanded the state government to reverse its decision to hike the VAT on petrol and diesel. 

In his letter to the chief minister Conrad K Sangma, Mukul said,” It is, however, an irony, like rubbing salt in the wound, that at this crucial juncture, while people are looking forward with patience to announcement of relief and succour, the State government of Meghalaya has decided to increase tax realisation from its citizens by increasing the Value Added Tax on petrol and diesel and only to fill their coffers.” 

Stating that the tax burden is bound to further augment the stress on common men, particularly farmers and other vulnerable groups, the former chief minister said, “I, urge, therefore, on behalf of all my colleagues and the aggrieved people of the state to reverse the decision to hike the VAT on petrol and diesel.”   

He said it is also pertinent that, when the global crude prices have skyrocketed in the preceding decades, the cost burden was passed on to the consumers, (which, indirectly affected every citizen) due to “dynamic pricing mechanism”, adopted by Government of India, shifting from the earlier “administrative price mechanism”. 

“Now that the global crude oil price has hit rock bottom, the price benefit should be passed on to the masses which will invariably bring down the retail price of both petrol and diesel and then only the state should increase the VAT,” he asserted.

The leader of opposition also reminded that the COVID-19 outbreak is a “notified disaster” under Disaster Management Act 2005 (DMA 2005) and said therefore measures required to be taken by the State Government is, besides various comprehensive measures, is to ensure rescue and relief; provide rehabilitation and reconstruction assistance to the affected.

“Therefore, any decision of the Government to levy additional burden of tax is contrary to the expected line of response, which is to alleviate the sufferings of the people particularly the vulnerable groups, through comprehensive measures as the collective resolve to fight the war against COVID-19 involves all section of people and everyone has to be able to reach “the finish line” to win the war,” he stated.