New Delhi [India], September 17 (ANI): The PHD Chamber of Commerce and Industry (PHDCCI) is optimistic that, if not now, in the near future, petroleum products will be subject to product tax and services (TPS).
“If petroleum products are subject to GST, there will be no direct benefit because the price of petroleum will remain the same,” Sanjay Aggarwal, president of PHDCCI, told ANI.
Aggarwal said that currently many states are opposed to gasoline and diesel being subject to the GST. They fear losing revenue, but when the GST was introduced it was basically to make sure that there was no multiplication of taxes. The industry is unable to obtain an input tax credit.
“As far as the consumer is concerned, there will be no direct benefit. Even if the GST becomes applicable to all petroleum products, the price of petroleum will remain the same. But as far as the trade industry goes, if there is transportation cost because of the fuel, we don’t get input tax credit. “
“Fuel has a substantial impact on the cost of freight. Likewise, a lot of diesel petroleum products etc. are consumed in factories for generators, boilers. the price of the goods that are consumed, ”Aggarwal said.
He further stated: “The PHD chamber strongly supports the introduction of petroleum products under the GST. We are hopeful that if not now, perhaps in the near future, the state and the center will come to the agreement to bring diesel gasoline under the GST Ambit “.
Finance Minister Nirmala Sitharaman chaired the 45th meeting of the Goods and Services Tax (GST) Council in Lucknow on Friday. Addressing a press conference after the meeting, Sitharaman informed that the council discussed the introduction of gasoline and diesel under the GST regime in accordance with instructions from the High Court of Kerala. However, she said members have made it clear that they would not want this included in the GST.
Commenting on the firm’s recent decision to allow 100% FDI in the telecommunications sector, Aggarwal said, “This decision will save one of the three telecommunications players. This means that you have a dynamic sector, you have fair competition and it will be good for the consumer by all means and I very warmly welcome this step by the government “.
He said the production-related program for the auto and drone sectors would help the country meet the export target of $ 400 billion. “This will have a very positive effect on the production of goods at the national level not only for the Indian market but also for exports,” he added.
Speaking about the impact on trade between India and Afghanistan after the Taliban took control of Afghanistan, Aggarwal said, “If you see the numbers that are not too big, our exports to Afghanistan is around $ 500 million and our imports from Afghanistan are around $ 300. millions. These numbers are not that big compared to our total basket of exports globally. $ 500 billion worth of exports is only 3% of our total exports, as well as 2.15% of our imports, something like that. In any case, a lot of product will be rerouted through various other geographies. “” So that’s not a major impact so far. What is really important for India is the geopolitical impact or the consequences of regime change.And we are confident that the Indian government is taking all measures to ensure that our country’s strategic and economic interests are taken into account. account, ”he added.
Afghanistan plunged into crisis last month after the fall of Kabul to the Taliban and the collapse of the democratically elected government of former President Ashraf Ghani. (ANI)