Petrol, Diesel Prices Drop Ahead of Diwali After Taxes Cut. Check New Rates.

In a huge sigh of relief to the masses, the central government cut excise duty on petrol and diesel by record amounts of ₹5 and ₹10, respectively, per litre, to reduce their rates.

Announcing the decision, a government statement said the Centre has also urged states to commensurately (in an equivalent measure) reduce the value-added tax (VAT) on petrol and diesel to give relief to consumers.

The Centre’s decision came on the eve of Diwali.

The step to cut excise duty on fuel prices will cost the government ₹ 1.4 lakh crore annually.

Here’s a list of states which have reduced petrol and diesel prices in their respective territories by bringing down the VAT attached to the fuel rates:

Uttarakhand

Uttarakhand has announced a reduction in VAT on petrol by ₹2 per litre in the state. With this, petrol prices in Uttarakhand are going down by ₹7 per litre.

Karnataka

The Karnataka government announced that it is going to reduce the VAT on both petrol and diesel prices by ₹7 per litre from November 4

Haryana

The Haryana government has also reduced VAT on fuel prices in the state. Now both petrol and diesel will be cheaper by ₹12 per litre in the northern state

Assam

The Assam government, in consonance with the reduction in excise duty on part of the central government, has also announced a reduction in VAT on petrol and diesel by ₹7 per litre

Goa

Goa chief minister Pramod Sawant also announced slashing the VAT by ₹7 on both petrol and diesel in the state.

Tripura

Tripura announced that petrol and diesel will be cheaper by ₹12 and ₹17, respectively, per litre from November 4 as the state government provided a further relief of ₹7 per litre on the prices of both these fuels, in addition to the relief provided by the central government by reducing the excise duty.

Uttar Pradesh

Acting on the Centre’s plea to states to “commensurately reduce” VAT on petrol and diesel, the Uttar Pradesh government on Thursday said that the prices of diesel and petrol in the state will be reduced by ₹12 per litre each.

Gujarat

Gujarat government also announced on Thursday the implementation of the Centre’s decision and reduced prices of petrol and diesel by ₹7 per litre in the state.

Manipur

Following the lead of other states, the Manipur government on Wednesday announced to reduce VAT on petrol and diesel by ₹7 each with immediate effect.

Sikkim

Sikkim chief minister Prem Singh Tamang on Thursday announced a reduction in taxes on petrol and diesel by ₹7 per litre, hours after the central government reduced excise duty on fuel.

Metro Cities

Petrol price on Thursday was cut by ₹6.07 per litre and diesel price by ₹11.75 in Delhi as oil companies passed on a record reduction in excise duty rates to consumers. Petrol will cost ₹103.97 per litre in Delhi against ₹110.04 per litre, according to a price notification of state-owned fuel retailers. Diesel rates accordingly will reduce to ₹86.67 per litre from ₹98.42 per litre.

In Mumbai, the petrol price has been cut by ₹5.87 to ₹109.98 per litre and diesel by ₹12.48 to ₹94.14 per litre. Kolkata saw the price of diesel being reduced by ₹5.82 to ₹104.67 per litre and that of diesel by ₹11.77 to ₹89.79 per litre.

Petrol price in Chennai has been reduced by ₹5.26 to ₹101.40 per litre and diesel by ₹11.16 to ₹91.43 per litre.