Chamber and dealers demand low taxation on oil

Kolkata, June 6 (UNI) Condemning the increase in prices of petro products, Bharat Chamber of Commerce and West Bengal Petroleum Dealers' Association today demanded that both the centre and the state governments reduce tax and cess on oil to ease the burden on this common man.

In a statement, Chamber president Santosh Rungta said the rise in petorl prices by 9.2 per cent and diesel prices by 6.6 per cent would stoke inflation and spell an adverse impact on the country's economy.

''In order to obviate the far reaching conequences, the cess and other levies of both the central and state governments should be reduced to neutralise the effect, '' he said.

Mr Rungta regretted that when the Indian industry was striving to contain cost, it would suffer a serious setback because of the fuel price hike.

Alleging that the petroleum ministry had taken a ''unilateral and high handed action'' in announcing the oil price increase, Petroleum Dealers' Association also made a similar demand.

''The West Bengal Government should take immediate steps to reduce the high quantum of sales tax and the cess on petro products, while the UPA government at the centre should lower the existing rate of import and excise duties, '' association president Tushar Kanti Sen said.

He said the government should also accept the fact that oil companies were earning more on enhanced refining charges and called for efforts to impress upon them to avoid all wasteful expenses.

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