Fuel price in Karnataka cut by Rs 3 per litre, cheapest in South India!
- Fuel prices in Karnataka slashed for up Rs 3 per litre since Saturday
- This was effected after the State government removed the entry tax on fuel
- While this has cheered the vehicle users, bunk owners feel they are left in lurch
FollowWith the state government abolishing entry tax on fuel, its advantage for vehicle users in Karnataka. At least Rs 3 has been slashed per litre. Since Saturday, petrol and diesel prices in Karnataka, are the lowest in South India. On Monday, the petrol price in Bengaluru stood at Rs 64.28 per litre and diesel price was at Rs 54.38 per litre, lowest in South India, so far, reports Kannada Prabha.
The Siddaramaiah government has abolished 5 per cent of entry tax on fuel from July 1. This has resulted in remarkable cut fuel prices in the state. This is said to be more helpful for the bunks especially located at borders, Bengaluru Petrol Bunk Dealers' Association member Taranath told Kannada Prabha. Here is a list of fuel price (per litre) from four states - Trivandrum petrol - 66.98 and diesel - 58.44 ; Pondicherry - 61.84 petrol and 55.18; Mumbai - 74.35 and diesel 58.79 and Hyderabad - 67.06 and diesel 58.24.
The state government on June 29 abolished the entry tax on fuel and reduced the tax payable by a dealer under Section 5 of the Karnataka Sales Tax Act, 1957, reports The Times of India. It is said that Chief Minister Siddaramaiah has perfectly calculated the move to abolish entry tax around GST launch. According to The Times of India, the move has removed 5 per cent entry tax on petrol, aviation fuel, motor spirit and piped natural gas.
While this has brought cheers to vehicle users, bunk owners in the state are bearing the brunt of abolition of entry tax. The bunk owners had reportedly stocked up the fuel by paying entry tax of 5 per cent ahead of GST. But with the state removing the entry tax, the bunk owners are suffering huge losses. Since the GST launch, bunk owners in the state have suffered loss up to Rs 6 lakh, reports Prajavani. But neither the Central government nor the oil firms are ready to pay for the losses, reports Prajavani quoting Akhila Karnataka Petroleum Dealers' Federation president Ravidnranath.
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