Kerala authorities stand to not lower taxes on gas criticised by Congress-led UDF and BJP

By PTI

THIRUVANANTHAPURAM: Kerala Finance Minister Okay N Balagopal’s stand on Thursday that the state can’t scale back its taxes on gas in the identical method because the Centre since it might result in an enormous burden on the federal government reeling underneath immense monetary liabilities was criticised by the Congress led-UDF and the BJP.

The state Finance Minister, whereas talking to reporters, mentioned that the Centre’s determination was solely a “face saving measure” and it has led to a further lower of round Rs 1.5 and Rs 2.5 in petrol and diesel costs.

This has led to petrol and diesel costs in Kerala lowering by round Rs 6 and Rs 12, respectively, he mentioned.

However, the state can’t scale back taxes on the identical traces because the Centre for the reason that Kerala authorities and its numerous our bodies, like KSRTC, are underneath immense burden because of the rise in gas costs, Balagopal mentioned.

The minister additional mentioned that the state authorities has additionally launched a number of monetary aid packages to these hit by COVID-19 and the current disasters in addition to elevated the dearness allowance by 6 per cent, all of which can be affected if the taxes on gas worth is lower.

He mentioned he can be coming again with the precise figures of the implications of any lower in taxes by the state.

Responding to the minister’s assertion, BJP’s Kerala state president Okay Surendran mentioned the Pinarayi Vijayan-led authorities was “heartless, lacking in sincerity and anti-people” for refusing to chop the taxes on gas.

Leader of Opposition within the state Assembly V D Satheesan additionally criticised the Left authorities and mentioned that the lower in excise responsibility was “marginal” and that the state and central governments had been finishing up “tax terrorism.”

Surendran, talking at a press convention, mentioned in all NDA-run states there was a proportionate lower in taxes, however the Kerala authorities was “arrogantly refusing to reduce even a penny” and this stand was “heartless, lacking sincerity and anti-people”.

He alleged that hearts of the state Finance Minister and the Chief Minister have turned to stone as they’re unaffected by the plight of the frequent man.

Satheesan, talking to the media, mentioned that since discount in excise responsibility by Centre has resulted in a discount right here by round Rs 1.5 in petrol and Rs 2.5 in diesel costs, subsequently, it implies that when excise responsibility was elevated, there was a corresponding improve within the state’s revenues.

He mentioned that Congress and UDF solely need that out of the extra income that the state earned because of the earlier improve in excise responsibility, a portion be used to supply subsidy to state transport company KSRTC, auto and taxi drivers in addition to fishermen.

Satheesan mentioned their demand was a easy one and it has no intention of desirous to dry up the state authorities’s coffers.

Kerala Pradesh Congress Committee (KPCC) president and MP Okay Sudhakaran mentioned if there is no such thing as a corresponding lower in taxes by the state, the protests wouldn’t cease and would now be directed in opposition to the Left authorities.

He mentioned that the rise in gas costs has led to a rise in price of important commodities and day after day requirements which was adversely affecting most of the people, significantly these of the economically weaker part of the society.

Balagopal had on Wednesday mentioned that the Centre’s determination to chop excise responsibility on petrol and diesel by a “small margin” of Rs 5 and Rs 10 respectively was “a temporary measure to save face” and “throw dust in the eyes of the people.”

The Minister, in an announcement, had mentioned that for any actual distinction to be made, the Centre ought to lower the particular tax and cess of Rs 30 per litre levied by it on diesel and petrol.

He had additionally mentioned the states weren’t receiving a share of the income collected by way of the extra tax which was being levied regardless of the worldwide worth fluctuations of petroleum.