[VeluM]

Originally Posted by Samurai

They should remove the subsidy entirely, and then remove road tax & VAT for vehicles that deserve subsidy. Those could be tractors, trucks and other transport vehicles.

That way, there is no scope for corruption or black marketing.

In Bangalore, tractors are used more to supply water to housing colonies and business establishments than farming. This would then help these businesses get their tractors cheaper, and hence indirectly subsidise that business. Not sure if that helps, especially with the way they drive

I think if a farmer goes to buy a tractor, then the farmer should be able to get it through a government validated subsidy. Blanket waiver of taxes will be misused. Yes, there will be ways of misusing the subsidy intended for farmers too, but then it will at least make it more difficult.

I voted NO on the poll, because I think laws should be simple, and enforceable. Having things like an additional cess/tax on private Diesel vehicles (SUVs) is plain ridiculous. Who is to say how much diesel will be used in the running-life of the vehicle? Depends entirely on how much it will be driven.

The best option is to remove the subsidy on diesel as a fuel completely, regardless of who buys it. Subsidising farm vehicles Only for genuine, verifiably BPL Farmers is the responsibility of the government. That way the initial cost of the produce is subsidised a bit, which (hopefully) will counter some of the increase in transportation costs.

Edit: I got a bit confused by the Poll Question: "Market Price" meaning the current market rate or unsubsidised market rate?

[xingamazon]

Guys..

Let me say this again, this whole discussion is pointless unless one gets to know what is the difference between the market price and the current price.

Please understand the last update I have is there is not much difference (only max of Rs 2) which is anyway there in interstate fuel price difference.
Sor thats why I am saying the who discusssion is point less.

Hope I need not repeat this again.

[Driver2000]

When there is a rule or stipulation; there are rules and ways to take advantage of it!

Should the large farmers (like those in say Haryana), not pay any tax because they are farmers?

Should reservation continue for years on together, even though they were initially meant for only a certain period?

I guess, there are lots of these pointless and debatable questions. Coming to the point - fuel should not be subsidized for any private vehicle. Of course, then we will have to implement rules around what are 'commercial' vehicles - else all these 'SUVs' might look to turn commercial overnight!

[Max]

Originally Posted by Spitfire

Should every household pay market price for LPG?
YES, they should pay market prices

Should every household pay market price for electricity?
NO, first 100 units should be subsided for poor

Should every household pay market price for water?
YES

Should every household pay market price for kerosene?
NO. it should be kept at these levels as most of poor indian's don't have gas connections and they use kerosene.

and so on...

I guess you get the drift...

In India, this nonsense will go on. We are too blind to see this..

India do not have nonsense policies. India is basically socialist country and not capitalist economy. However, recently it is slowly moving to capitalism which is clearly reflecting in ULTRA HIGH home prices which are out of reach from average consumer. Indian youth is leaved homeless due to huge funds inflow and greed of investors who are artificially keeping prices high.

Average Indian person is very poor, India's more then 33% population is bellow poverty line and don't even get 2 times food. Once, I had no meal for whole day which made me realize what it is like to be very poor and have no money for food.

As rich people it is our responsibility to pay little extra for petrol (say 5%!) so that government can keep kerosene and diesel prices low. However, government should make sure these subsidies reach poor people which is totally different agenda.

As far as subsidies on diesel prices for car owner goes, government may just impose one time flat tax for diesel cars specially little more on luxury cars to make up for diesel subsidy for car owners. However, these funds should be used for fulfilling losses on subsidies diesel prices and not for oil companies profit.

And yes, government should reduce tax burden for high income earners and try to get more people pay taxes which will help reduce cash transactions. Indian government can double its tax collection if its able to bring more people under direct tax bracket with help of reducing tax rates and encouraging income dis-closers.

[naj]

Originally Posted by arin_12

Its not only the SUV owner. I believe it should be applicable for all the Diesel vehicle owner.
Our Big Profile people buy fuel at same cost as the farmer buys.

+1 .
Indeed ! All private diesel car fuel should be without the subsidy at the deregulated price just like motor spirit.

Today's TOI has again carried another news article by Mr Jairam stating different diesel pricing for private Diesel cars.

Cheers,
Naj

[shankar.balan]

I voted NO because I like the Diesel Subsidy and I like paying less for my Fuel. May seem selfish and short sighted and politically incorrect etc but frankly this is my personal view. I am quite happy to save wherever possible and have no compunctions saying it.

Also - considering that close to 50% of the list price of Diesel or for that matter, Petrol in a Bunk is composed of various taxes, levies and excise and entry tax, I believe that by paying 42-43 Rs per litre, I am in my own way contributing to the state exchequer.

I would state here that it would be great if our Government would create a common MRP for Petrol and Diesel across India - regardless of which part of the country it is. In all other consumer product categories we have an MRP law - I dont see why it cant apply to Fuel as well.

[sen2009]

No Way.. Absolutely not!

I have bought an SUV and paid higher taxes for that. That is where the line ends.

I may get diesel cheaper than needed, but the real question is - "who funds more for this subsidy?!" Me or the truck guy?
Because of many myriad things, I am entitled for much lesser facilities than what my annual tax expenditure should entitle me. That's okay!
But then, stretching it too far will only result in more "violations" of "good faith".
I say this out loud, everyone else feels this deep. It's simple really!

Because of our unshakable commitment to the development of this nation, we have already pledged everything we got. There should be a limit to it already!

Higher diesel prices for SUV owner!

Should one move to china for a better life!

[architect]

I have voted YES. Not only SUV owners, but all private diesel vehicle owners (including taxis) should pay market price for diesel.

The exploitation of the subsidy on diesel is similar to buying LPG for restaurants at residential LPG rates or paying taxes at agricultural land rates for farmhouses which hold parties for the rich and famous on a commercial basis.

It is a different matter altogether that it will take the government years to set-up a mechanism which will ensure that diesel selling at two different rates will be sold to the rightful consumers.

Until then, one can expect further proliferation of the already existing evils: black-marketing, hoarding, subverting supplies to create artificial shortage, adulteration of fuel and lastly, more harassment for the ordinary law-abiding citizen. Not to mention a huge increase in sales of jerricans and pipes.

[shankar.balan]

most of us are probably in the max income tax bracket.
we do pay a sizeable chunk of our annual earnings to a bunch of politicos who are busy land grabbing and lining their own pockets.

In effect, most of us work for 4 months for the GOVERNMENT out of a 1 year period, just to pay our taxes! And when it comes to the tiny refunds we are supposed to receive after showing all our savings, the IT authorities demand a bribe to release the same! Think about that.

Then;
Do we even get basic roads to drive on?
Are there proper street lights?
Do we have any recourse to a proper law and order mechanism?
Is there any accountability at all - take Mayawati's statues and garlands made of 1000 Rupee notes for instance or CWG or the Adarsh scam or the 2G scam.

So why are we making a storm in a tea cup about Diesel prices?

If there is a small amount of gain by the Great Indian Middle class in terms of Diesel prices which are subsidized then let it be is my view.

Start taxing the zillionaire farmers and agricultural income.
Start making the politicians pay for all their misdemeanours.
Provide the common man with a proper infrastructure

If the great Reliance brothers are India's richest men, then why arent they in the Top 5 Tax payers list?
what about Monsieur Pawar the great and his behind the scenes action?
what about uncle Lalloo?
and finally our dear Monsieur Yeddy in Bangalore

Bring them to book and then we will see!

Originally Posted by sen2009

No Way.. Absolutely not!

I have bought an SUV and paid higher taxes for that. That is where the line ends.

I may get diesel cheaper than needed, but the real question is - "who funds more for this subsidy?!" Me or the truck guy?
Because of many myriad things, I am entitled for much lesser facilities than what my annual tax expenditure should entitle me. That's okay!
But then, stretching it too far will only result in more "violations" of "good faith".
I say this out loud, everyone else feels this deep. It's simple really!

Because of our unshakable commitment to the development of this nation, we have already pledged everything we got. There should be a limit to it already!

Higher diesel prices for SUV owner!

Should one move to china for a better life!

[rao_battula]

Voted for Yes because subsidies are only for poor and needy. But I seriously want to know where this tax regime taking us to with no accountability on government part. Who bells the cat?

[yogeshnaik]

If subsidy on diesel is removed only for SUV, then there are many loop holes in the system from where the source of fuel can be drawn. In foreign countries diesel is costlier than petrol. I believe the costs need to be equalized based on the usage and type of commodity. Prior statistics need to be done by the government and the decision needs to be taken based on this.

[jalex77]

There is a simple solution, Slap a higher tax on Diesel cars. Excise duty should also be increased.

[simplyself]

The reason behind the skewed voting, probably, is most of the SUV owners do not consider the web as a forum to address their grievances.

Some not withstanding.

Never had an SUV. Define an SUV !!!!!!!!!

Why slab an higher tax on diesel? Because they are cleaner (yes!!!) Because they lost longer?

[vishnurp99]

Like xingamazon said earlier define market price of diesel. Possible at the thread start.

At present the subsidy for diesel is just under 1.5 Rs. Is this what we are talking about? or Are we talking about differential taxing rates for diesel which accounts for around 15 Rs.

One thing is the amount of diesel consumption is huge in this country when compared to petrol. So even with the lower rate for Diesel the total money the govt gets is much higher than for Petrol.

If differential pricing comes in for Diesel, Personally speaking i am going to find a way to get the lower priced diesel for my cars/suv for sure. From a personal ethical prespective it's not wrong since I paid more for my cars when i brought them just because they are diesel. I know lots of people who gets benefited from subsidies/govt allocations for no reason.

[Chopper]

No, the main issue here is the implementation of this plan. How are they going to do this? Even if they implement it, as “jaysmokesleaves“ said, it would encourage the black market selling and people won’t be benefited with this.

If Govt. wants to remove the subsidy on Diesel, it should affect all the Diesel vehicle owners. You can’t have a category here, and making a group is not a practical solution!.