Chandigarh Might Get a Price Cut on Petrol and Diesel Prices | VAT Cut Proposed

In the near future, if all goes as planned, Chandigarh might see the cut in the price of Petrol by Rs. 2.8 and Diesel by Rs. 2.55. As per the sources, the proposal of cutting the VAT [Value Added Tax] by 5% on petrol and diesel has been introduced to the Excise and Taxation Commissioner, this Wednesday [4th October 2017 ] by Chandigarh administration. 

VAT Cut Proposed on Petrol and Diesel by 5% in Chandigarh

In the last few years, Chandigarh has accounted the vivid increase in the tax slab for petrol and diesel. In fact, the total tax slab computed turned out to be 25% of the basic pay. Along with these taxes imposed on the people of UT, there is also non-negotiable CST tac that is paid while the purchase of petrol from Ambala depot, raising the price for UT residents. This rise in tax prices was introduced in Chandigarh to bring in the parity with its neighbors including Mohali and Panchkula.
It has been observed that the price gap in petrol between these three cities is wide. Understanding the condition of administration, Chandigarh residents and petrol dealers have urged the administration to safeguard the interest of the city instead of focusing on bringing parity. UT administration is continuously trying to come in tune with the demands of its residents and is working on the proposal of cutting the VAT on petrol and diesel, as per the sources.
After the proposal was put on the table to cut the VAT on the petrol and diesel in Chandigarh by the administration, the issue has been dragged up and down in the system. According to some very strong sources, it has come to light that the proposal might be implemented and announced by the next week, relieving Chandigarh consumers vividly. This Wednesday, the Excise duty on petrol and diesel was cut by Rs. 2 by the administration. Presently, the price of petrol in the city is Rs. 68.5/litre in which the Tax amount is Rs. 13.6 and coming to diesel the price in UT is Rs. 57.76 that comprises of tax of Rs. 8.38.

Request of Re-opening up UT’s Own Petrol Depot is Out 

As per the head of Chandigarh Petrol Dealers Association, they have requested the administration to reopen the petrol depot in the city availing them to buy petrol easily from within the city instead of Ambala Depot paying CST of Rs. 2/letre. There was already a petrol depot in Chandigarh, Sector 25 that is now closed forcing the dealers to buy petrol from Ambala Depot.


Vaishali Sonik

Vaishali.M.Sonik is a passionate writer, who loves to explore and create awareness among people around her. With the ulterior motto of spreading her words around the world to make a difference, Vaishali turned her entire career around from being a graduate to becoming a full-time writer. Believing in the major principles of hard work and growth, she is paving her path towards being known. Vaishali Sonik says that " There are loads of de-motivations but finding the one right motivation can help you achieve what you desire, It might delay but will never fade". You can reach Vaishali at
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