TIOL-DDT 7 · Thursday, 9 December 2004 · story 2 of 2

Where does your petrol bill go?

If you pay around Rs. 38/- for a litre of petrol, about Rs.20/- goes to the state as taxes as the table here would show.

S.No.

Item

Petrol

Diesel

1.

Price without customs duty, excise duty and sales tax components

17.46

18.07

2.

Customs Duty

2.12

2.29

3.

Excise Duty

12.07

3.15

4.

Sales Tax

6.19

2.77

5.

Retail Selling Price

37.84

26.28

This information was given by Mr. Mani Shankar Aiyar, Minister of Petroleum & Natural Gas and Panchayati Raj in a written reply in the Rajya Sabha on 7th December 2004.

That means petrol is not all that expensive, only the state makes it so. Interestingly a litre of petrol costs around 0.53 Dollars in USA that is about 23 Rupees. While half a Dollar is a peanut for an American while forty rupees is quite a lot of money here.

Be wary of a strong drink - It'll make you shoot a tax collector - and miss

Until Tomorrow with more of DDT

Have a Nice Day