Govt. Says No Extra Cess on Diesel Cars; For Now!

Just a couple of days back we discussed about what the Government of India could be thinking on imposing any additional tax on diesel cars,

especially SUVs to make up the subsidy given on Diesel.

Now, Economic Times reports, Lok Sabha MP Mr. Anurag Singh Thakur asked the Minister of State for Finance, Mr. S. S. Palanimanickam whether the Government is considering a special Cess on diesel cars to discourage their sales and make up for the subsidy that is given to Diesel.


Answering the query, Mr. Palanimanickam clarified that currently there is no proposal to impose any additional Cess on diesel cars. Well, this sure is a sigh of relief. But this doesn’t clear all the air and possible thoughts going on to curb dieselification of the Indian car market. What would happen to the proposal to introduce annual road tax for all diesel cars, and a huge amount of it in case of diesel SUVs, remains to be seen.

Presently, Petrol and diesel cars has same taxes and Cess levied on them; education Cess, secondary and higher education cess and national calamity contingent duty… Yes, you read it right! you pay all that when you buy a car!!! Now how many of you knew about it?


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Source: Economic Times

Arghya Pan

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