Govt rules out excise duty cut as petrol, diesel A cut in taxes on petrol and diesel is ruled out for now as neither the central government nor some states have the appetite to stomach revenue loss from such a move, a top government official. "Under Modi, the country has reached a low", Leader of Opposition Ramesh Chennithala said while inaugurating his party's protest in Kochi. Stray incidents of violence were reported from various places. Same is the case with diesel price in Maharashtra, Tamil Nadu and Rajasthan, where the sales tax on diesel is higher than in Kerala.
Retail prices of petrol and diesel breached record levels again on Tuesday with Oil Marketing Companies (OMCs) raising rates by 14 paise per litre each for the two automobile fuels in the national capital.
However, many feel that by attributing the price hike only on worldwide factors must be taken with a pinch of salt, the BJP government is trying to shrug away its own responsibility of bringing fuel prices under the ambit of the Goods and the Services Tax (GST). They also burnt effigies of the Centre against the spiralling fuel prices.
TDP had opposed the demand of the opposition parties to bring the fuel products under the ambit of GST, claiming that fuel products were among the major contributors of tax revenues for the states. The Bharat Bandh was peaceful in Madhya Pradesh, said Makrand Deuskar, IG Law & Order, Madhya Pradesh on Bharat Bandh The Bharat Bandh was peaceful in the state, 110-115 people have been arrested.
Meanwhile, Congress-led group of Opposition parties have called for Bharat Bandh today against the rising fuel prices.
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Prominent political parties SP (Samajwadi Party), BSP (Bahujan Samaj Party), TMC (Trinamool Congress), DMK (Dravida Munnetra Kazhagam) and RJD (Rashtriya Janata Dal) backed the Bharat Bandh.
Manmohan Singh hit out at the BJP for "miserably" failing to control fuel prices.
The current price hike across the country, is a result of multiple factors including the global geopolitical situation, a diving rupee, but most importantly, the government's unrelenting tax regime and the silence of its ministers over the issue.
"The BJP strongly believes that despite some momentary difficulties, the people of India do not support this protest", he said.