(TOI)
Households will have to shell out up to Rs 32 more for each cooking gas (LPG) cylinder from this month due to the twin impact of GST and a reduction in subsidy. Consumers will also have to pay more for the two-year mandatory inspection, installation, administrative charges for documentation for new connections and additional cylinders as these have been put in the 18% slab under GST.
LPG has been put in the 5% GST slab. Earlier, most states such as Delhi did not tax the green fuel, while some levied VAT ranging between 2% and 4%. After introduction of GST, LPG cylinder price will rise by Rs 12-15 each in states that did not tax the fuel. Elsewhere, the increase will depend on the gap between the GST rate and prevalent tax in states that levied VAT. However, a simultaneous reduction in subsidy amount from June will compound the impact for consumers. “The subsidy amount of Rs 119.85 paid to eligible consumers in Agra, for example, till June has also been reduced.
