CPM decides not to cut VAT on fuel prices, says Pinarayi govt has not increased tax ever since coming to power

THIRUVANANTHAPURAM: The CPM has decided not to cut VAT on fuel prices. The decision was taken at the state committee meeting held today. Various states had cut VATs on fuel prices after the Centre reduced excise duty on petrol and diesel. According to the CPM, the state is facing financial difficulties due to COVID and there is no need to reduce the tax. It also justified the decision by claiming that the Pinarayi government had not increased the tax on fuel ever since it came to power. The party also directed Finance Minister KN Balagopal to explain the current situation in the state and convince the people of its position.

Earlier, Finance Minister Balagopal had alleged that the Centre announced the reduction to temporarily save its face in view of the rising public outcry across the country. ''The central government decided to reduce the excise duty on petrol and diesel by a small margin following strong protests from the people. This reduction has been made to temporarily save face in view of the rising public outcry across the country. This is actually a ploy to throw dust in the eyes of the people,'' the Minister said.