VAT collection on Fuels up by 6.2% compared to 2021-22
February 28, 2023
Gandhinagar: Gujarat government collected Rs 20,216.5 crore in value-added tax (VAT) on petrol, diesel, CNG, and PNG between February 1, 2022, and January 31, 2023, representing a 6.2% increase from the previous year, informed the Finance Minister in the state assembly on Monday. The government further stated that while VAT collection on petrol and PNG witnessed a decline, tax collection on diesel and CNG was higher compared to 2021-22.
The tax collected on diesel rose from Rs 12,731.8 crore in 2021-22 to Rs 13,951.23 crore in 2022-23, indicating that transport businesses may have faced a setback in 2021-22 but returned to normal in 2022-23. The state reduced VAT on diesel and petrol by Rs 7 per litre in November 2021.
The Finance Minister also acknowledged the need to investigate the decline in VAT receipts from petrol. Possible reasons for this could be an increase in the use of public transport or more people working from home. This information was provided in response to questions from Congress MLAs Imran Khedawala and Amit Chavda. DeshGujarat
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