It is common in our country for the opposition parties to criticise the government when there is a price rise. Nothing wrong with the remarks of the Congress leader. When Vajpayee was the opposition leader he came to the Parliament on a bullock cart to protest against the fuel prices.
K Mohan @ Moga
'Idhuvum Kadandhu Pogum "
Even this challenging situation would ease
No person is going to reduce the usage of their private vehicles. Only when people stop purchasing the fuel and use public transport for commuting, then only there may be some thinking about these taxes by the governments.
The diesel cost in AP is Rs.3/- more than that of the same in Telangana. Can the State government think of reducing their share of taxes?
I would request the members to do some research onto this and share the fact.
"Life is easier when you enjoy what you do"
However in the cases of indirect taxes the ultimate consumer cannot avoid as it is loaded in the price paid. So the governments always increase indirect taxes as the overall amount is large and revenue collected will also be large in spite of default by anyone in the production and supply chain before the end buyer.
The implementation of GST by merging a number of individual direct taxes has somewhat streamlined and simplified the indirect taxes. The tax quantum itself came down and became uniform with only fewer categories.
Most of the State Governments did not agree to bring liquor and Fuel prices under GST because they wanted the freedom to tax these two cash cows. Hence a of now liquor and Fuel bear the burden of Taxes by central government and taxes by state government. Moreover after the price decontrol , refineries have the freedom to price them . So ultimately fuel, being an imported product, the final user consumer has to pay high due to the progressive price rise and double taxation.
If fuel is brought under GST there can be relief. As the taxes are ad valorem, any increase in base price proportionately increases tax on that. so the final price has a cascaded effect. In addition to that both governments can increase tax rate also. So there is definitely a need to bring fuel also under GST. Til then it will be a shadow play by centre and state fooling the people.
Taking these facts we may say it is tax extortion now.
If the taxes are reduced proportionately to the price hike, it will solve this problem.
"Stop unwanted freebies meant for the needy individuals."
Due to continuing policies of subsidies or providing on FOC basis to those who no more required this are creating unnecessary financial burden on policy formulation of the government.
I pity on few who keep on finding the means to target the government and believe that rest are not understanding it.
@Ved Prakash Anand: You have written about bond scheme and I hope that you must have full knowledge about the purpose of the bond scheme also.
According to BBC Atal Bihari Vajpai led NDA also adopted this bond scheme. It is true that UPA government issued bonds to oil companies between 2005 to 2010 and the present government has to pay total Rs 1.31 Lac crores by 2026. The government has already paid Rs 35 hundred crores so far whereas it has earned Rs 22 Lac crores so far through taxes between 2014-2021. Speaking in parliament state minister finance said that during 2020-2021 government earned (through taxes) Rs 2.94 Lac crore in 10 months during corona time when consumption of oil was also reduced.
If our government restarts bonds scheme in place of present Dynamic fuel price system where oil price fluctuates every day will stop price hike. Moreover, oil price will also come down to an affordable point for a common commuter.
I think the government will ponder over this issue also.
Few who still got problem with price hike of fuels, I want to remind them of the fact that once in February of 2014, the then Defense Minister A. K. Antony from the Gandhi's Congress led UPA government admitted that,
"Government has no money to go ahead with the procurement of 126 fighter jets"
The above is one of its type and we must understand the kind of government that this used to be.
The present government has shown their intentions with implementing GST, carrying out demonetization, removing Article 370 and Ram temple to name a few. And this government is again working on defense and developmental projects including CAA, NPR and NRC which would be needing a huge money and wherein the tax paying numbers are quite less in comparison to the numbers enjoying huge subsidies and many more on FOC basis, this lets the government to depend on the fewer sources.
What would you feel if you are told that even after >70 years of time we have not been able to connect with the Imphal (Manipur), Aizawl (Mizoram) and Kohima (Nagaland) but the good thing is that this may happen by March 2023.
The government is also busy fencing the Eastern border with Pakistan to completely stop intruders. These all projects need huge investment, but I do not know whether we know about these or do not know about these but in case we know about these then why not discussing?
I have no doubt that we are surrounded by paid media and few who are always wanting their propagandas to be fulfilled.