(FE)
The Central Government has increased the excise duty on petrol by a record Rs 10 per litre and on diesel by Rs 13 per litre on diesel. With this decision taken on Tuesday evening, the government is expected to garner Rs 1.6 lakh crore additional revenue. However, the hike in excise duty is not likely to affect the retail prices of petrol and diesel for the common citizens. Officials as saying that the retail prices of petrol and diesel will not be impacted by the tax changes as state-owned oil firms will adjust them against the recent fall in oil prices.
The notification of Central Board of Indirect Taxes and Customs said that special additional excise duty on petrol has been hiked by Rs 2 per litre and road cess has been hiked by Rs 8 a litre. In case of diesel, special additional excise duty has been hiked by Rs 5 per litre and road cess has been raised by Rs 8 a litre. With this, the total incidence of excise duty on petrol has risen to Rs 32.98 per litre and that on diesel to Rs 31.83.
