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Old 28th May 2012, 21:55   #301
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Default re: Petrol price hiked by Rs. 7.50. EDIT 1st March 2013 : Up by Rs. 1.4

Quote:
Originally Posted by diwa View Post
This shows that VAT @ 20% as Rs 12.20 per liter. But the news says 20% VAT = Rs 1.26/-. Not sure how this works.
Probably 1.26 is 20% of the latest hike in prices. Out of the 7.50 hike, 1.26 is VAT.
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Old 28th May 2012, 21:58   #302
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Default Hike in Petrol being offset by a hike in CNG!!

Petrol to cost less, but CNG more as Delhi govt juggles VAT - Indian Express

Just read this article and am amazed at the stupidity (or is it?)of the govt.
Instead of heaping taxes on this fuel which is only easing the foreign outflow of the govt why are they not increasing taxes on things like cigarettes/alcohol/increase the fine on traffic violations etc etc and etc.
Is is a long term strategy on part of the govt to keep their "fuel revenues" constant in light of the fact that in future more and more people in Delhi are going to shift to CNG?
I just hope they identify "good" and "not so good" consumer goods and tax them accordingly!!
Hope god gives them some "sadbuddhi"...
As the article says - this is a proposal - Is it time to start a signature campaign to desist the govt from initiating such a move?
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Old 28th May 2012, 21:59   #303
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Default re: Petrol price hiked by Rs. 7.50. EDIT 1st March 2013 : Up by Rs. 1.4

Quote:
Originally Posted by bluevolt View Post
Increase by Rs.7 decrease by Rs. 2 is now a old and boring game.
Hello Bluevolt,

This was well planned. That is why the Price was increased by Rs. 7.5, so that after public protest they can reduce rs. 2 or so & talk of Government intervention to reduce Petrol Prices.

There is nothing new in this game.

Quote:
Originally Posted by diwa View Post
This shows that VAT @ 20% as Rs 12.20 per liter. But the news says 20% VAT = Rs 1.26/-. Not sure how this works.
Hello Diwa,

The entire Fuel Pricing mechanism in India is suspicious. If you read a thread on T-BHP on Fuel Prices in India - Detailed Robbery Analysis, you will be amazed that how common man is literally cheated & looted in name of losses in sale of Petroleum Products.

Also if you check quarterly financial results of Oil Marketing companies, you will be surprised by the Net Profit after Tax figures.

Thanks,
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Old 28th May 2012, 22:01   #304
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Default re: Petrol price hiked by Rs. 7.50. EDIT 1st March 2013 : Up by Rs. 1.4

Quote:
Originally Posted by diwa View Post
I just found the price break up for petrol on IOC site - https://iocl.com/Products/PriceBuild...ldup_of_MS.pdf

This shows that VAT @ 20% as Rs 12.20 per liter. But the news says 20% VAT = Rs 1.26/-. Not sure how this works.
Petrol hike in Delhi was Rs.7.54. The break-up of Rs.7.54 is:

Rs.6.28 + 20% VAT (Rs.1.26) = Rs.7.54.

Delhi government is not charging VAT on the increased amount of Rs.6.28, i.e., Rs.1.26.

I don't think anybody will be happy with these peanuts.
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Old 28th May 2012, 22:15   #305
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Default re: Petrol price hiked by Rs. 7.50. EDIT 1st March 2013 : Up by Rs. 1.4

Then the article - Delhi government cuts petrol price by Rs 1.26 per litre; CNG to be costlier is misleading. "has decided not to impose 20 per cent Value Added Tax (VAT) on petrol prices".

Quote:
Originally Posted by mukeshgoel View Post
Petrol hike in Delhi was Rs.7.54. The break-up of Rs.7.54 is:

Rs.6.28 + 20% VAT (Rs.1.26) = Rs.7.54.

Delhi government is not charging VAT on the increased amount of Rs.6.28, i.e., Rs.1.26.

I don't think anybody will be happy with these peanuts.

Last edited by diwa : 28th May 2012 at 22:23.
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Old 28th May 2012, 22:45   #306
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Default re: Petrol price hiked by Rs. 7.50. EDIT 1st March 2013 : Up by Rs. 1.4

Quote:
Originally Posted by diwa View Post
Then the article - Delhi government cuts petrol price by Rs 1.26 per litre; CNG to be costlier is misleading. "has decided not to impose 20 per cent Value Added Tax (VAT) on petrol prices".
Yes, it seems they forgot to write "increased" petrol prices.

Quote:
New Delhi:Petrol will be Re 1.26 per litre cheaper in the capital soon. The Congress government of Sheila Dikshit in Delhi has decided not to impose 20 per cent Value Added Tax (VAT) on "increased" petrol prices.
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Old 28th May 2012, 23:59   #307
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Default re: Petrol price hiked by Rs. 7.50. EDIT 1st March 2013 : Up by Rs. 1.4

Quote:
Originally Posted by mukeshgoel View Post
Yes, it seems they forgot to write "increased" petrol prices.
Your absolutely correct , check IBN live. They have quoted correctly - Delhi: Petrol price to come down by Rs 1.26 - India News - IBNLive
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Old 29th May 2012, 14:50   #308
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Default re: Petrol price hiked by Rs. 7.50. EDIT 1st March 2013 : Up by Rs. 1.4

Quote:
Originally Posted by headbanger View Post
"Committ" is not something one can associate with Indian Politics. As far as roll-back is concerned, at max govt. will take Rs2.5 away from this hike and make it a partial roll-back. And the junta would have a sigh of relief that hike was limited to Rs 5 only.

Have 3 petrol cars and there is no way out of this situation. Even if I sell off 1 car, huge depreciation will hit me

Time to be a diesel-head now!!!
Could'nt help seeing the connection between this post and your handle. ROTFL. No offence meant. I guess it's related to the music.
Yes, one diesel car in the garage is always a sensible option.
What I can gather from your post though, is that the GoI is having to behave like a database.
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Old 30th May 2012, 10:38   #309
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Default re: Petrol price hiked by Rs. 7.50. EDIT 1st March 2013 : Up by Rs. 1.4

Hello Petrolheads,

Finally some good news: Robust Q4 nos: State-run oil cos like IOC, HPCL may cut petrol price by Rs 2/litre from June 1

Full article here: Robust Q4 nos: State-run oil cos like IOC, HPCL may cut petrol price by Rs 2/litre from June 1 - The Economic Times

HPCL's Forth Quater Profit: Rs. 4,631 crore (312% YOY growth)
IOC's Forth Quarter Profit: Rs. 12,670 crore (229% YOY Growth)
BPCL's Forth Quarter Profit: Rs. 3,963 crore (202% YOY Growth)
ONGC's Forth Quarter Profit: Rs. 5,644 crore (102% YOY Growth)

Is this not surprising? Oil marketing Companies has posted alteast double Profit after Tax figures as compared to last year.

Where have all the losses gone?
Why not even a single Oil marketing is company making losses?
Before the Petrol Price hike, they were literally crying stating that they do not have Cash to buy further crude & they will have to close down the business due to mounting losses.

How come a company making Profit after Tax of Rs. 4,000 Crore talk of losses & close-down?

Thanks,

Last edited by Jignesh : 30th May 2012 at 10:41.
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Old 30th May 2012, 10:56   #310
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Default re: Petrol price hiked by Rs. 7.50. EDIT 1st March 2013 : Up by Rs. 1.4

Posted in the other thread. Reposting here.

Please read this to understand "The Truth behind Indian Oil Corporation’s ‘Profits’ "

The author is my sister.

Rajan
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Old 30th May 2012, 15:08   #311
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Default re: Petrol price hiked by Rs. 7.50. EDIT 1st March 2013 : Up by Rs. 1.4

Just look at this circus :

State-run oil companies like IOC, HPCL may cut petrol price by Rs 2 per litre - The Times of India

"Surprise turnaround" my foot!
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Old 30th May 2012, 15:42   #312
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Default re: Petrol price hiked by Rs. 7.50. EDIT 1st March 2013 : Up by Rs. 1.4

There is a news item on TOI stating that someone has filed a PIL against this price increase of Rs. 7.5.
I hope something positive comes out of that too.
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Old 30th May 2012, 16:23   #313
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Default re: Petrol price hiked by Rs. 7.50. EDIT 1st March 2013 : Up by Rs. 1.4

Bharat Bandh on 31st May (tomorrow)

NDA (NAtional Democratic Alliance) has called for Bharat Bandh on 31st May against recent Petrol Price Hike & some Regional Parties like Shiv Sena are suporting the same.

I am not getting into political discussion here, but the selection of date is definitely very smart or very fishy.

Oil Marketing Companies are supposed to review retail fuel prices every fortnight i.e. on 1st & 15th of every month.

Now after the Petrol Price hike last week, Oil Marketing Companies have posted robust Quarter 4 results & are probably considering marginal Petrol Price reduction. The reason for this is falling Global Crude prices & stabalizing Rupee.

Now why did NDA chose 31st May as the Bharat Bandh day? Why not 24th or 25th or 28th or 29th May?

Probably the opposition political parties knew that government will have to reduce the Petrol by few Rupees on 1st June & they (NDA) can credit of the Petrol price reduction.

Thanks,
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Old 30th May 2012, 17:58   #314
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Default re: Petrol price hiked by Rs. 7.50. EDIT 1st March 2013 : Up by Rs. 1.4

If they always get the subsidies, then why do they complain. The govt should be the one that complains :( Is there a time period when they are running losses and the govt has not agreed to increase the price?

And will the govt once it increases the prices give back for the losses that occurred during that period (ofcourse with the additional taxes that the govt gets)
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Old 30th May 2012, 18:04   #315
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Default re: Petrol price hiked by Rs. 7.50. EDIT 1st March 2013 : Up by Rs. 1.4

Quote:
Originally Posted by srishiva View Post
If they always get the subsidies, then why do they complain. The govt should be the one that complains

Hello Srishiva,

HPCL, IOC, BPCL, ONGCare Government owned & comtrolled companies.

The more the profits of these companies, the biggest benefit goes to Government in form of Dividends declared.

Government holds more than 50% / 60% in each of these companies & if you just google the dividend that Government receives you will definitely be surprised.

Thus Government is giving from one hand (Subsidy) & taking from another (Taxes & Dividend).

So to cut the long story short - Nobody losses except the Comman Man.

Thanks,
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