FM Nirmala says, no cut in excise duty on petrol diesel, as government needs to pay past oil bonds. Indirectly, FM is saying that only the past oil bonds are responsible for higher fuel prices, not the tax increase.
Here’s the math that does not favor FM and shows how much the Modi government has made under his ruling.
In June 2014, oil price crashed from $110 to $40 per barrel, since then the barrel price kept bouncing between $50 to $70, still the retail prices of petrol and diesel have not decreased.
In fact, even during the pandemic when the oil prices hit below $20 in summer 2020, the retail prices have hit record high due to massive hike in taxes by the government
Take a look at the below table by PPAC, to know how much the government has made in taxes.
In short since 2014 to 2021, the Union Government has collected a total Excise Duty of Rs.15,59,104 Crore against a total Tax & Dividend of Rs.22,33,867 Crore which includes Cess, Royalty, Customs Duty, NCCD, Service Tax, IGST, CGST and others(which no one what is this), Corporate/ Income Tax, Dividend Income, Dividend Distribution Tax, Profit Petroleum on exploration of Oil/ Gas.
While, the State Government has collected a total of Rs.12,36,923 Crore in Sales Tax and VAT against a total Tax & Dividend of Rs.13,83,692 which includes Royalty, SGST/UTGST, Octroi, Duties Incl. Electricity Duty, Entry Tax/Others and Dividend Income.
That means, the total collection of the Indian Government is Rs.36,17,560 Crore during the period between 2014-15 to 2020-21.
So the conclusion is the government is crying and blaming the past oil bonds which is just Rs.1.3 Lakh Crore for this fiscal and 2025-26, while only Rs.3500 Crore has been paid so far.
So, where is the money going and do you really agree with the FM for justifying the reason for fuel to cross Rs.100 per litre by blaming past oil bonds of just Rs.1.3 lakh Crore against a total collection of Rs.36,17,560 Crore.
ANKUSH TIWARI 