Petrol prices on Tuesday touched a scorching Rs 90.11 in Maharashtra's Parbhani while diesel prices also increased from Rs 77.92 to Rs 78.06, Parbhani District Petrol Dealers Association (PDPDA) President Sanjay Deshmukh said.
The VAT rates are as high as 39.12 per cent in Maharashtra on petrol, and Andhra Pradesh levies the highest VAT on diesel at 28.08 per cent.
Mumbai has the highest tax rates among the metros.
This was announced by Chief Minister N. Chandrababu Naidu while introducing a resolution in the Assembly on Monday urging the Central government to slash excise duty and Income Tax dividend and cess being levied on petroleum products to bring further relief to people. "Currently, Centre compensates states based on the 14 per cent growth in tax revenue".
The official said consumers will have to pay for the fuel they use.
From 2014-18, there was an increase of 1.5 per cent in tax-GDP ratio. Next 5-6 years the target should be to increase non-oil tax to GDP ratio by at least 1.5 per cent and this is the long-term solution, he said. "We have to depend on imports for oil".
In the state capital, the IT campus at Technopark is functioning and the ISRO units are also working as normal. The state's share now works out to Rs 23.
"Fuel prices have disturbed the budget of every household".
The official said the four states, which have supported Bharat Bandh, collect high taxes themselves. Diesel prices in the three cities were also raised today to Rs 77.47, Rs 75.82 and Rs 77.13 per litre, respectively.
Finance Minister Arun Jaitley remained evasive on the issue of cutting down excise duty to cushion the spiralling petrol and diesel prices, adding that worldwide oil prices are volatile and have not shown any linear movement. While fiscal deficit means expenditure higher than income, current account deficit (CAD) is the difference between inflow and outflow of foreign currency.