“Taxes levied by Central and State on petrol alone constitute 46 p.c. of total sale price”

Dravida Munnetra Kazhagam president and former Chief Minister M.Karunanidhi on Monday explained that the proposed demonstration of his partymen on May 30 was to force the Central and State governments to reduce the taxes levied on petrol.

In a statement, he pointed out that as against the subsidy of Rs 49,000 crore extended by the Central government towards sale of petrol during 2010-11, the total amount it collected by way of taxes was about Rs 1.36 lakh crore.

Thus it had recovered Rs 96,000 crore over and above what it had expended towards subsidy.

He pointed out that the taxes levied by the Central and the State governments on petrol alone constituted 46 per cent of the total sale price of petrol.

Mr. Karunanidhi criticised Chief Minister Jayalaithaa alleging that she had been trying to pass the buck to the Central government and the previous DMK rule after imposing a burden of Rs 4,000 crore on the public.

She had announced hike in several spheres including that of bus fare, milk price and power tariff.

The May 30 demonstration of the party was to condemn these hikes also, he added.

DMDK stir

Desiya Murpokku Dravida Kazhagam president Vijayakant has announced that he would lead a demonstration in Tiruchi on June 1 to condemn the hike in price of petrol and the attitude of the Central and the State governments in this regard.