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GST Council May Discuss Proposal To Include Diesel, Petrol In One Regime

Presently, only 5 fuels come under the central excise, cess and state VAT which lead the Centre and the states governments to register huge revenues.

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Amid the constant rise in the fuel prices, the Goods and Services Tax (GST) Council is likely to consider a proposal to bring petrol and diesel under the GST regime, for the first time since one tax one nation came to play in the country 

The GST GST Council is going to be held on September 17 in Lucknow, Uttar Pradesh. This meeting is going to consider imposing a tax on petrol, diesel and other petroleum products. 

At the time when a National GST put up central taxes like excise duty and state levies like Value Added Tax (VAT) on July 1, 2017, only 5 petroleum products like diesel, petrol, Aviation Turbine Fuel (ATF), natural gas and crude oil was not included in purview at the time when the states acquired a revenue-neutral situation. 

Presently, only 5 fuels come under the central excise, cess and state VAT which lead the Centre and the states governments to register huge revenues.  

Meanwhile, there are few Indian states that have also been opposed to this move as they fear huge revenue losses. 

This time, however, the council is not in the mood to take up a proposal for consideration suo motu. In the month of June, the Kerala High Court (HC), directed the GST Council to take a step to bring petrol and diesel within the GST ambit.

Meanwhile, a leading media house cited sources as saying that the proposal for bringing petroleum and diesel inside the GST would be set before the Council for conversation considering the court requesting that the Council do as such.

Talking about the GST Council, it consists of the finance ministers from the central and state governments. 


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gst council Centre government diesel petrol