: Petrol pumps in Delhi may go dry as the Delhi Petrol Dealers’ Association (DPDA) is threatening to go on a strike demanding reduction of Value Added Tax (VAT) on petroleum products.
The Aam Aadmi Party government had increased VAT from 25 per cent to 27 per cent on petrol and 16.6 per cent to 18 per cent on diesel in January. “We would like to highlight that VAT collection on sale of petroleum products is set to go down with or without the ‘odd-even’ scheme being in place. Not only the promise to keep the VAT lowest in country has been compromised, but also the promise of uniformity of rates with the neighbouring States has been done away with,” said Anurag Narain, president, DPDA. In the last nine months, VAT collection in the Capital in case of petrol has been increased by 35 per cent and by 44 per cent in case of diesel. Besides, VAT on petroleum products contributes to around 25-30 per cent of the total VAT collection of Delhi, the association said in a statement.
“Delhi being expensive by almost a rupee in Diesel from Haryana now, is pushing car customers and transporters to fuel from Haryana inspite of they coming to Delhi for genuine reasons,” he added..
The DPDA has called a meeting on Friday to decide whether to begin a strike or not.
