"The
current tax varies from 20 per cent to 34 per cent in
different states of the country with maximum of 34 per cent in
Maharashtra. The petrol and diesel rates will be uniformed all
over the country if it is brought under VAT," Gidwani
said in a press conference. He had also written letters to
Prime Minister Manmohan Singh and Finance minister P
Chidambaram.
The
tax on petrol will drop to 12.5 per cent once it is brought
under VAT, he said adding this will enable drop in prices to
Rs 7 per litre on petrol and Rs 5 per litre on diesel.
Gidwani
said the Maharashtra government has been requesting the same
to union government from last two years and should now take
lead to bring all states together and convince the union
government to bring petrol and diesel under VAT since it is
the largest contributor of revenue to union government.
It
is unfair to burden the citizens with the increase in fuel
prices when the inflation is already rising, he added.
