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High VAT spurs Petrol Pump operators to stage demonstration

On September 13th and 14th, over 6,712 petrol pumps across Rajasthan will remain closed as the Rajasthan Petroleum Dealers Association has announced a strike. If the government does not concede to their demand, dealers will go on an indefinite strike from September 15th. However, during the strike, emergency vehicles like ambulances and firefighting vehicles will […]

On September 13th and 14th, over 6,712 petrol pumps across Rajasthan will remain closed as the Rajasthan Petroleum Dealers Association has announced a strike. If the government does not concede to their demand, dealers will go on an indefinite strike from September 15th. However, during the strike, emergency vehicles like ambulances and firefighting vehicles will be provided with diesel and petrol.
The Rajasthan Petroleum Dealers Association is demanding a reduction in VAT (Value Added Tax) on diesel and petrol in the state. According to the organization’s president, Rajendra Singh Bhati, their only demand from the government is to reduce VAT on diesel and petrol in the state.
Rajasthan currently has the highest VAT on petrol and diesel compared to neighbouring states like Punjab, Haryana, and Gujarat. Despite having the longest highway in the country, Rajasthan has seen the closure of 270 petrol pumps in the last four years. High VAT rates in the state have resulted in people preferring to buy fuel from other states. Some individuals even illegally bring diesel from other states and sell it in Rajasthan, causing financial losses to legitimate petrol pump operators.
Rajendra Singh Bhati, President of the Rajasthan Petroleum Dealers Association, emphasized that reducing VAT would not only benefit the public by lowering fuel prices but also help curb the practice of smuggling fuel from other states. Currently, the high VAT in Rajasthan has led to people choosing to purchase fuel from neighbouring states where the taxes are lower, resulting in losses for petrol pump operators in Rajasthan.

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