Himachal govt declines to reduce sales tax

The business in Petrol pumps in the areas bordering Haryana has gone down by almost 30 per cent, President of Himachal Pradesh Petrol Pump Association Sukumar Singh said today.

This loss would further widen in future, he added. Petrol pump owners in Parwanoo, Baddi, Kala Amb in Nahan and other areas sharing borders with Haryana said trucks entering from Haryana are filling up their tank in that state where diesel is cheap by about Rs 1.65 in comparison to HP.  

While sales tax on diesel in Himachal Pradesh is 14 per cent, it is 25 per cent on petrol.  

The tax in Haryana previously was 12 per cent on diesel which the Bhupinder Singh Hooda government has reduced to 8.8 per cent bringing it at par with Punjab.  

Himachal Chief Minister Prem Kumar Dhumal had recently said there was no plan to lower sales tax in the hill state.  

Yogesh Kumar, a petrol pump owner at Darlaghat in Solan district, said while the present rate of diesel in Haryana is Rs 33.60 per litre, it is Rs 35.25 per litre in HP.  

HP petrol pumps association chief said they have sought time from chief minister to request him to lower the tax on fuel and bring it at par with Haryana and Punjab.  

Singh said the hill state was already incurring huge revenue losses with industrial projects and even hydroelectric projects getting their stock of diesel and petrol from outside the state on the "C" form on which they get rebate in tax.