LPG Cylinders Rates Remain Unaffected Even After GST In Both Telugu States

July 06, 2017 12:53
LPG Cylinders Rates Remain Unaffected Even After GST In Both Telugu States

LPG Cylinders Rates Remain Unaffected Even After GST In Both Telugu States:- Even though, the Telugu States of Telangana and AP governments had already imposed Value Added Tax (VAT) on various goods in the state, the newly introduced Goods and Services Tax (GST) does not have any impact on some of the goods and services.

Even after the GST, the prices of the domestic cylinders in both the Telugu States remained the same. Post GST, the price of the LPG has increased by 5%, but it did not show any impact as the states already had 5% VAT on the LPG cylinders. The GST has led to an increase of up to Rs32 per LPG cylinder, in states where there was no VAT earlier. Currently, in Hyderabad, the price of a domestic LPG cylinder is Rs 613.50. Out of this, the customers have to borne Rs 482, whereas the subsidy component is Rs 131, which is credited in the bank accounts of consumers.

After GST, the cylinder price increased from Rs446.65 to Rs477.46, as there was no VAT in Delhi. In Mumbai, where 3% VAT was imposed previously, the price has gone up by Rs14.28 to Rs491.25 per cylinder.

The states which had no sales tax before, now have to pay 5% tax on the domestic LPG cylinders.

SUPRAJA

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