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Old 25th June 2012, 20:08   #391
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Default Re: Govt plans to impose additional levies on diesel cars

To me, it looks like all the dealers are trying to push up car-sales (which have been down in the past few months) using this additional-levy as a reason, though there is no clear indication that the Govt. plans to go this route.
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Old 25th June 2012, 20:33   #392
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Default Re: Govt plans to impose additional levies on diesel cars

very irresponsible Government.
All this commotion of diesel subsidy and resulting loss to Oil companies is no way getting mitigated and the ultimate losers are still the Oil companies and consumers like us. The "selfish" governments, wants to take every such opportunity to to hike taxes and add money to its kitty and spend recklessly.
Can the Government "pass on" the complete revenue earned out of the additional levies on diesel cars to the Oil companies?
Can the Government think of "value adding" to the already "stressed" (in terms of high prices of fuel, unworthy roads, huge road taxes, excise duties & levies and surcharges) transportation system (be it passenger cars for common citizens or trucks for logistics) and come up with a unified proposal that shall benefit citizens and reduce the import bill burden together?


consider this example, somewhat fitting, not literally though:
lets take the Govt as the mother, the "feeder" and the common citizens & the oil companies as 2 children. The "mother" constantly starves the first child, the oil companies, cheats it of its rightful share (as it does through subsidies) and penalizes the other child (with customs duty, import duty and all kinds of taxes and levies and now with additional levies for diesel car purchases) for eating food (here auto purchases). However, The mother (Government) keeps bloating and gets obese and is ever more hungry and ever more greedy and wants to take every opportunity to increase its share of food (taxes), grabs more from its own.

Last edited by cs_rajesh : 25th June 2012 at 20:48.
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Old 25th June 2012, 21:39   #393
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Default Re: Govt plans to impose additional levies on diesel cars

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Originally Posted by droolingvoyager View Post
I was at Mahindra dealer in Bangalore, and they told me this tax is going to come by July 1st. they added 'maybe sir'.
Got a call from Maruthi Sales guy asking me to book the Swift D now itself and he said he can give the vehicle in 30-45 days and he says the diesel tax might be started soon (60K to 80K), "may be" in a month or so. He says if the vehicle is not delivered before the price hike, I can cancel the booking (cancellation fee 100/-) if required :-). Are the SA's of all dealerships given some training or there is some definite news to these guys about the hike :-)
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Old 25th June 2012, 22:59   #394
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Default Re: Govt plans to impose additional levies on diesel cars

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Originally Posted by cs_rajesh View Post
consider this example, somewhat fitting, not literally though:
lets take the Govt as the mother, the "feeder" and the common citizens & the oil companies as 2 children. The "mother" constantly starves the first child, the oil companies, cheats it of its rightful share (as it does through subsidies) and penalizes the other child (with customs duty, import duty and all kinds of taxes and levies and now with additional levies for diesel car purchases) for eating food (here auto purchases). However, The mother (Government) keeps bloating and gets obese and is ever more hungry and ever more greedy and wants to take every opportunity to increase its share of food (taxes), grabs more from its own.
The oil companies don't lose any money. They get bonds from the govt for whatever subsidy is given. They can sell the bonds in the market and get back the money.
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Old 25th June 2012, 23:01   #395
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Default Re: Govt plans to impose additional levies on diesel cars

MY SA at MPL has been pushing me to invoice the car within this month. Says that there might be a hike in diesel car prices. Now, I don't want to take any chances and I'm pushed to arrange for funds though I do not see the finance ministry giving a nod for such things.
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Old 26th June 2012, 12:11   #396
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Default Re: Govt plans to impose additional levies on diesel cars

My friend booked the i20 CRDi Asta on July 13th and yesterday he paid the down payment and the loan amount was dispensed too. The manager at the showroom now claims that the Asta will take almost a month to be delivered. The manager also said that if the hike happens sometime before the delivery the difference amount has to be paid. I cant understand this
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Old 26th June 2012, 12:25   #397
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Default Re: Govt plans to impose additional levies on diesel cars

Well, I booked my Figo last week and the sales guy said that I will now be immune to any price changes. I have just payed 30,000 to ensure that any diesel excise does not bite me. Hope the sales guy does not change his tune if the excise comes into force.
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Old 26th June 2012, 12:48   #398
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Default Re: Govt plans to impose additional levies on diesel cars

Quote:
Originally Posted by Ranjimso View Post
My friend booked the i20 CRDi Asta on July 13th and yesterday he paid the down payment and the loan amount was dispensed too. The manager at the showroom now claims that the Asta will take almost a month to be delivered. The manager also said that if the hike happens sometime before the delivery the difference amount has to be paid. I cant understand this
Nothing untoward in this actually. Most dealers openly mention that prices applicable at delivery time will be the final price. Quite understandable, since they cannot invoice the car one month ahead of car arrival. As far as I know, there is some maximum time limit allowed between the car's invoice date and registration date for the dealer. It cannot be invoiced today to escape the hike and registered say, 1 month later at RTO, is what I heard

In fact, the loan amount should not be disbursed so soon. Ideally, the customer (your friend in this case) should do it only in the end. Now it might end up in a situation where the EMIs could start before the car arrives . Moreover, the customer will be at the mercy of the dealer since all the money (loan + DP) is now in the dealer's hands.

Last edited by KarthikK : 26th June 2012 at 12:52.
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Old 26th June 2012, 14:28   #399
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Default Re: Govt plans to impose additional levies on diesel cars

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Originally Posted by sriswe View Post
Are the SA's of all dealerships given some training or there is some definite news to these guys about the hike :-)
No training really. Just a piece of info passed on which is then used as a stick to beat prospects into confirming bookings.

Quote:
Originally Posted by Ranjimso View Post
My friend booked the i20 CRDi Asta on July 13th and yesterday he paid the down payment and the loan amount was dispensed too.
Now that the money is paid, the dealer is king of this deal.

Quote:
Originally Posted by shadow View Post
Well, I booked my Figo last week and the sales guy said that I will now be immune to any price changes. I have just payed 30,000 to ensure that any diesel excise does not bite me. Hope the sales guy does not change his tune if the excise comes into force.
Get it in writing from the dealer before you pay the entire amount. Or threaten to cancel and demand a full compensation. I doubt any dealer will give in writing though, as there is really no concrete information on ths topic from official sources. It is high time the government comes out with a clarification. On this topic.
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Old 26th June 2012, 16:06   #400
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Default Re: Govt plans to impose additional levies on diesel cars

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Originally Posted by KarthikK View Post
In fact, the loan amount should not be disbursed so soon. Ideally, the customer (your friend in this case) should do it only in the end. Now it might end up in a situation where the EMIs could start before the car arrives . Moreover, the customer will be at the mercy of the dealer since all the money (loan + DP) is now in the dealer's hands.
I don't know if my friend thought about this. They offered him the magna variant for quick delivery but he is not interested. Looks like there's not much he can do.
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Old 26th June 2012, 16:07   #401
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Default Re: Govt plans to impose additional levies on diesel cars

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The oil companies don't lose any money. They get bonds from the govt for whatever subsidy is given. They can sell the bonds in the market and get back the money.
Hi carboy. check this link Indian Oil's biggest ever loss of Rs7,486 cr in July-September - Money - DNA

Oil companies and retailers suffer losses and Government doesnt compensate for selling fuel at lower than market price.
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Old 26th June 2012, 16:18   #402
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Default Re: Govt plans to impose additional levies on diesel cars

Finance Ministry confirms that there are no plans to induce additional taxes on Diesel Cars.
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Old 26th June 2012, 18:39   #403
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Default Re: Govt plans to impose additional levies on diesel cars

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Finance Ministry confirms that there are no plans to induce additional taxes on Diesel Cars.
The buffalo has gone in the water for some people then! (literally translated from a popular Hindi adage)
Do you have a link to confirm this?
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Old 26th June 2012, 19:00   #404
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Default Re: Govt plans to impose additional levies on diesel cars

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Originally Posted by selfdrive View Post
The buffalo has gone in the water for some people then! (literally translated from a popular Hindi adage)
Do you have a link to confirm this?
Here is the video link of Bloomberg UTV

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Old 26th June 2012, 21:15   #405
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Default Re: Govt plans to impose additional levies on diesel cars

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Originally Posted by cs_rajesh View Post
Hi carboy. check this link Indian Oil's biggest ever loss of Rs7,486 cr in July-September - Money - DNA

Oil companies and retailers suffer losses and Government doesnt compensate for selling fuel at lower than market price.
Read this.

How do oil bonds work

Also, read the first line from your link - there is an 'if' there.
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