Central Board of Indirect Taxes and Customs (CBIC) has notified the additional excise duty on petrol and diesel by ₹1 each and special additional excise duty on the two fuels by ₹2 each, effective Saturday.
Special excise duty on petrol was hiked by Rs 2 to Rs 8 per litre in case of petrol and to Rs 4 in case of diesel.
“This would provide much needed resources for infrastructure and other developmental items of expenditure keeping in view the present fiscal position…While the benefit of reduction of crude prices in the first quarter of this year has significantly gone to the consumer, the government has taken this step of increasing duty to raise some revenue in view a tight fiscal situation,” an
official said on the matter.
The decision will help the Indian government earn more revenue, as it battles weak revenues and slowdown in the economy amid the coronavirus pandemic.
