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Tamil Nadu finance minister: ‘Centre expecting states to reduce taxes neither fair nor reasonable’

By Alyson Longcor 3 months ago

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A Day just after Union Finance Minister Nirmala Sitharaman introduced reduction of excise duty on petrol and diesel, and questioned the states to adhere to fit, Tamil Nadu finance minister Palanivel Thiaga Rajan on Sunday explained it is “neither reasonable nor reasonable” for the union govt to count on states to lessen their taxes.

On Saturday, the Centre minimized the excise responsibility on petrol by Rs 8 per litre, and on diesel by Rs 6 for each litre.

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In a direct reply to Sitharaman’s tweet “exhorting all condition governments to carry out a equivalent cut”, Rajan claimed that “the union authorities did not tell, let by itself talk to for any state’s view” when they greater union taxes on fuel, citing a whole maximize of Rs 23 for every litre for petrol and Rs 29 per litre for diesel considering that 2014. “Now, soon after rolling again ~50% of their increases, they are exhorting states to lower. Is this federalism?” Rajan tweeted.

On Sunday, a statement issued by Rajan’s workplace claimed “It is heartening to take note that the Union Government has finally heeded to the recurring requests of the Tamil Nadu authorities to decrease the taxes on petrol and diesel…”

Even ahead of the Union Government experienced very first lessened its taxes on petrol and diesel in November 2021, the DMK government experienced slash the VAT on Petrol, in August 2021, the statement added.



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