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Old 13th June 2012, 17:22   #286
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Default Re: Rumor: Rs.1.7 to 2.5 Lacs Extra Tax On Diesel Car

I wont be happy paying high taxes for diesel cars, but this step has right intentions. Diesel subsidies are meant to benefit public and goods transport. Premium SUV owners and B,C,D category owners are unduly benefiting from low diesel prices which has to stopped.

Diesel and petrol vehicle meant of personal transport has to be on a level playing field.
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Old 13th June 2012, 17:38   #287
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Default Re: Rumor: Rs.1.7 to 2.5 Lacs Extra Tax On Diesel Car

Quote:
Originally Posted by prmd_cochin View Post
I wont be happy paying high taxes for diesel cars, but this step has right intentions. Diesel subsidies are meant to benefit public and goods transport. Premium SUV owners and B,C,D category owners are unduly benefiting from low diesel prices which has to stopped.

Diesel and petrol vehicle meant of personal transport has to be on a level playing field.

Aren't Diesel vehicle owners already paying premium for their vehicles? There is already level playing field. Looking at the latest IIP data this is going to be worst thing anybody can do to Indian industries

They should be increasing the price of Diesel than increasing the excise. The amount earned from increased excise will never can compensate the so called subsidy loss they are taking currently

-Ijeet
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Old 13th June 2012, 17:48   #288
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Default Re: Rumor: Rs.1.7 to 2.5 Lacs Extra Tax On Diesel Car

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Originally Posted by ijeet View Post
Aren't Diesel vehicle owners already paying premium for their vehicles? There is already level playing field. Looking at the latest IIP data this is going to be worst thing anybody can do to Indian industries
That premium goes to the car manufacturers and not the govt ( who is paying the subsidy). This tax hike would make the diesel makers cut their margin and bring don the hike from the proposed 1.7 to 2.5 Lk to 1.0 to 1.8 Lk.

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Originally Posted by ijeet View Post
They should be increasing the price of Diesel than increasing the excise. The amount earned from increased excise will never can compensate the so called subsidy loss they are taking currently

-Ijeet
That would be a stupid thing to do. It would directly hit the economy in the head, public transportation costs will go up, railway cost would go up, goods transportation cost wold go up.

Last edited by prmd_cochin : 13th June 2012 at 17:51.
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Old 13th June 2012, 18:06   #289
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Default Re: Rumor: Rs.1.7 to 2.5 Lacs Extra Tax On Diesel Car

With the entire Dhoble SS's crackdown on the nightlife and electronica music and shutting down of pubs really early every night in Bombay, I found no point living in the city anymore. But that was till last night when THIS news came in.

After that, I'm really considering moving out of the country. The only thing this nation is gonna regret forever is 15th of August 1947. Such a shame. Period.
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Old 13th June 2012, 18:34   #290
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Default Re: Rumor: Rs.1.7 to 2.5 Lacs Extra Tax On Diesel Car

First of all, the amount to be retrieved by this hike is not going to be given to the oil companies, so any relation to the excess tax covering up for the subsidy thing can be taken off the equation.

This act is more of a deterrent nature, where in, like the olden days, diesel vehicles will be used only for public transportation vehicles, farming etc and not to be burned away by private parties. This way the money spent on subsidy will be used only by those, whom the relief is aimed at.
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Old 13th June 2012, 18:53   #291
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Default Re: Rumor: Rs.1.7 to 2.5 Lacs Extra Tax On Diesel Car

First of all this is not a rumor, this is something proposed by Petroleum Minister Jaipal Reddy.

As of now, this is unlikely to be accepted by the Finance Ministry, so this is laid to rest.

However, please change the topic name - its not a rumor.

It should be "Proposed"
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Old 13th June 2012, 19:00   #292
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Default Re: Rumor: Rs.1.7 to 2.5 Lacs Extra Tax On Diesel Car

Bravo Shankar for this post. Even i am also of same opinion. let army rules this country for at least next 20 years to put house in order. i have faint hope in Out Just retired Army general to do that. Nothing else will work here.

Coming to topic, i don;t see it happening for simple reason. All the auto companies have committed thousand of crores in investment across india to Increase their diesel capacity and this will put them in trouble . Again a classic case of policy flip flop for which current govt is famous for. with business community already up in arms against these policy flip flops i suspect if it will ever happen again.

If they still go ahead with this , IMO it will be a like shooting on own foot wrt to policy and what ever investors we are left with, will also safely run away to other investment destinations . In the end , nobody gets affected other than those who are already struggling to make end meet.

Quote:
Originally Posted by tanwaramit View Post
As of now, this is unlikely to be accepted by the Finance Ministry, so this is laid to rest.
I agree completely, Mr FM is Busy in his presidential dreams and babu's under him has stopped taking any decisions for time being. a article appeared of same opinion in first post. need to dig out and post the link here.

Last edited by .sushilkumar : 13th June 2012 at 19:03. Reason: quoting amit
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Old 13th June 2012, 19:14   #293
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Default Re: Rumor: Rs.1.7 to 2.5 Lacs Extra Tax On Diesel Car

This is SICK!!! We already pay far too many taxes after already paying income tax through our nose. A car that costs 30 Lacs ex showroom which already includes several duties gets further taxed in different categories to make it on road close to 40 and now people think it should increase further?

Is the price difference between diesel and petrol that huge? Guess it will be better to remove that difference then and see how they can bring back the car prices to what they were initially!

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Old 13th June 2012, 19:36   #294
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Default Re: Rumor: Rs.1.7 to 2.5 Lacs Extra Tax On Diesel Car

If the 1.7-2.5 lacs does happen then what will happen when Tata Nano Diesel is in the market? Will we be paying the "diesel" tax which is higher than the cost of the car itself?
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Old 13th June 2012, 19:39   #295
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Default Re: Rumor: Rs.1.7 to 2.5 Lacs Extra Tax On Diesel Car

This does not look like it can be implemented at all. Its ridiculous and it does defy logic to a certain extent. The numbers do not add up as per the tax proposals.
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Old 13th June 2012, 20:05   #296
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Default Re: Rumor: Rs.1.7 to 2.5 Lacs Extra Tax On Diesel Car

The UPA govt on back of their dismal governance record, large-scale corruption and shambolic handling of the economy cannot do any worse than they already have. They should take this opportunity and bite the abolish diesel subsidy bullet. That's the correct solution, to the massive trade deficit, and also allow Retail-FDI while they are at it.

Together, these steps will result in a massive upheaval in the economy, but the course will be north. 1991-redux!
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Old 13th June 2012, 21:20   #297
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Quote:
Originally Posted by sarathlal
First of all, the amount to be retrieved by this hike is not going to be given to the oil companies, so any relation to the excess tax covering up for the subsidy thing can be taken off the equation.

This act is more of a deterrent nature, where in, like the olden days, diesel vehicles will be used only for public transportation vehicles, farming etc and not to be burned away by private parties. This way the money spent on subsidy will be used only by those, whom the relief is aimed at.
Great stuff in theory, not in practice because this is always going to be observed more in the breach than in the observance. Most of the rich element have agri businesses too. They dont need the subsidy. Mostly it is the big, illegal mining chaps, land owners and their ilk, who turn to politics as another bastion to further their looting interests. All these fellows typically take cover under agricultural subsidies and dont pay taxes either. These are the ones who will benefit to the maximum when they swank around with their fancy Diesel powered cars and huge industrial sized gen sets and pump sets and what have you. Apart from this all the major real estate owners, business park owners, hotels and the like, will also benefit from the subsidy because they are the ones running huge gensets all the time especially in power starved sates like dear old Karnataka.
The poor marginal farmers wont get much out of it because hardly any of them own cars and few of them indeed, own even a simple pumpset or genset. To an extent the common man will get some small indirect benefit because the lorries that bring food will use the fuel subsidy and the buses that transport the public will use the same.
The regular working man who has decided to save a bit by moving to Diesel is going to suffer more, with this fat tax if it happens.
The big auto majors and other international players will all lose further confidence in India's future owing to these short sighted idiotic policies that the government seems to be increasingly propounding. Cambridge educated FM is dreaming of the next Presidency and like Nero appears to be fiddling while this place is burning. The way it is going, I would not be surprised if the rest of the so called privileged elite and politicos turn completely into Nero's guests, who watched the slaves being put to death for fun - here the slaves are the common people! The PM and gang are a bunch of drooling halfwits operated by a remote control wielded by a physically ill, great white scion! Choice for president seems to be the above mentioned bloke or the miserable shrill harridan of a daughter of a common thief and tax evader. All the others are incompetent, irrelevant or are ancient,, decrepit and likely to shuffle off their mortal coils quite quickly.
Personally I dont think that anybody in the political scene as of now has the guts to try and implement this OR even consider fiddling with the Diesel prices. They will all be looking to secure the filthy selves for the next election. What they should certainly consider is a removal of all entry tax, octroi and the excessive excise duties etc and reduce the differential between petrol and diesel.
Frankly the only way out of this mess seems to be a very drastic solution that I dare not air over here in public!
India, my India, whither goest thou?

Last edited by shankar.balan : 13th June 2012 at 21:30.
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Old 13th June 2012, 22:22   #298
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Quote:
Originally Posted by shankar.balan
Frankly the only way out of this mess seems to be a very drastic solution that I dare not air over here in public!
India, my India, whither goest thou?
"I say make me President or give me dictatorship Or monarchy over this country. Im going to turn this around and make it into a developed nation and reduce scams to zero." i think these statements must be going on in all of our minds. No jan lokpal bill or anti corruption bureau or any other committee can help India. This is because its inbred into us that whenever we rise to power we are going to be corrupt.
We all know this"absolute power corrupts absolutely". But in our country, even a little bit of power corrupts absolutely. Be it the corrupt ward guy, or the land registrar or the chief officer at a telephone exchange office or even a constable, anyone who has a title attached to the front of his name unlike the normal common man. Everyone wants their bribes to be in place before work is even started.

I was shocked at the openness of how these people demand their bribes. They say "Saar I had to pay so much to get this office." as if thats my fault. I mean people get into these offices paying bribes rather than by merit and then want to earn back all the money they paid to enter by bugging the common man to bribe him back.

We Indians have been ruled from the past ever since inception. Be it the Indian kings, or the Mughals or thereafter. As a result of this, when democra'Z'y in our country, people became free to do whatever they wanted, free to do all the more illegal things.
This is somewhat similar to a child having strict parents, in the absence of whom, watches tv way past his bed time or plays games more than he would normally have been allowed to in the presence of his strict parents.

I dont understand the logic of taxing the common man over and over again.
1. You pay tax when you buy the car
2. You pay tax every 5 years or so to drive the car on potholed roads.
3. You pay tax to fill petrol or diesel to run your car
4. You pay tax again as income tax
5. You pay "tax" to get special numbers
6. You pay "tax" to the officer who feels like harassing you at any point of time whether it be regarding sunfilms or seatbelts for rear passengers or not having an additional stepny tire. Yes i know this list is ridiculous and so is life.
7. You pay tax to drive on so called "highways" everytime you drive on them.
8. Add your own taxes here

And now after all that, diesel vehicles owners have to spend all the more on tax just because some sections of society feel its unfair to them that their wallets are not feeling heavy enough even after enslaving the common man.

I feel this so called "subsidy" is just a sham. How many people are actually benefitting from this? Why not get rid of this subsidy altogether and price everything equally? The way this can be enforced without affecting below poverty line and public transport costs is- make a diesel bunk within bus depots, just like the railways and keep the diesel within those bunks available at subsidised prices. Or taxless prices. And the rest of the bunks within the city can have normal prices for both petrol and diesel so that neither community feels cheated and also reduce tax on diesel cars as no subsidies are being provided on the price of diesel.
This way prices of goods dont go up Due to differential pricing and also ordinary people will start to spend their money wisely and also opt for public transport thereby reducing traffic and also pollution and global warming. More people will get richer and overall living conditions will also improve.

This must have got you thinking right; that India can be so nicer in such a condition. WRONG. Im talking about the game Sim City here and not our country. You actually thought conditions in India will improve,huh?! It hasnt improved after 65years of independence and wont improve also. Ive given up hope.

Keep on dreaming.

P.s I dont drive a diesel car, never have. But have taken to walking to negate the rise in petrol prices. Cheers!!
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Old 13th June 2012, 22:29   #299
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Default Re: Rumor: Rs.1.7 to 2.5 Lacs Extra Tax On Diesel Car

The title says it all. It's a rumor right? Why do we over-react here?
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Old 13th June 2012, 22:58   #300
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Default Re: Rumor: Rs.1.7 to 2.5 Lacs Extra Tax On Diesel Car

If people are whining over the increase due to petrol prices, lets increase the tax on diesel cars. Anyway the common man is paying us taxes. - Story of our country
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