No proposal to slash state taxes on diesel, petrol: UP

Lucknow, Feb 17 (PTI) The Uttar Pradesh government todaysaid there is no proposal on the anvil to slash taxes ondiesel and petrol in the state despite rising internationaloil prices, as the revenue generated from the sale of theseauto fuels is necessary to finance development initiatives.

"There is not proposal to cut state taxes on petrol anddiesel. Presently, there is tax of Rs 17.23 on diesel and Rs26.55 on petrol, which is less compared to other states. Thistax is necessary for generating resources for development,"Parliamentary Affairs Minister Lalji Verma said in the StateAssembly.

Verma was answering a query raised during Question Hourin the Assembly.

In his question, SP member Jokhu Lal Yadav sought to knowthe measures being taken by the BSP government to control theprice rise in the state.

In reply, State Food and Civil Supplies Minister RamPrasad Chowdhury said the state government had launched acampaign against hoarders and initiated action against them.

The minister said that while rice is being sold in thestate at Rs 16 per kg, sugar is available at Rs 32-33 andpulses made of matar are available at Rs 15.5 per kg.

The SP members subsequently asked the government whetherthere was any proposal to cut taxes on diesel and petrol,which were fuelling inflation.

When the government denied any proposal to cut taxes, theSP members alleged that state government was hand in glovewith hoarders and staged a walk-out to register their protest.