Everyone questions : Petrol in Pakistan Rs. 35/- per ltr…. U.A.E. Rs. 19/-…. Why Rs. 71 in India…. Here is the answer.
Do you all know that the price of petrol ( Motor Spirit ) is just Rs. 36.18 ?? Most of you are not aware of it. The taxes levied on it make it to Rs. 70-71. Nearly 50% of what you pay goes to State and Central Government.
The taxation policies are also too very dangerous. As the price of crude increases the taxes which we suffer also increase. The final consumer bears not only the cost of Motor Sprit but also Central Excise, Customs, Ad Velorem Duty, Sales Tax, State Entry Tax and then a small amount of margin to vendor.
The Tax collected with all above mentioned names is the prime source of revenue to the government. Government says it has to collect the taxes to meet the expenditure on the spending.
The State Doesn’t charge VAT on Petrol… It charges Advelorem Instead. This means every time the price of crude rises automatically the taxes levied are also increased.
Cost Of Motor Spirit - 36.18
Excise Duty - 14.35
Customs - 2.75
Entry - 2.66
Sales Tax - 13.97
Vendor Comm - 2.00
Total 71.91
Next time when you question about petrol prices please keep in mind that Petrol in Turkey is 132/- per ltr… U.K. is 95/- Per ltr…. Norway is 102/- per ltr…
Remember, Petrol is not costly. The Taxes levied on petrol makes it costly.
