Maharashtra’s Deputy Chief Minister and Finance Minister Ajit Pawar has stated that the Maha Vikas Aghadi government will support the central government if it brings petrol and diesel under the ambit of the Goods and Services Tax (GST).

Pawar was addressing rising concerns in the state assembly over the fuel prices and swiftly shifted the mantle to New Delhi to solve this ongoing dilemma.

The NCP leader also clarified that the state taxes on fuels cannot be reduced due to the impact of the Covid-19 pandemic on Maharashtra’s economy. The Deputy CM said that bringing petrol and diesel under the GST regime will ensure that half of the levied tax goes towards the state and this will benefit every government.

“It is a fact that rise in fuel prices in recent times is impacting the lives of the common people. Now, there is a discussion that fuel prices should be brought under GST. If it is brought under GST, the entire issue (rising fuel prices) will be resolved,” Ajit Pawar was quoted by the Indian Express.

He added, “In it, while all states will get half portion of GST, the remaining half of the entire country will go to the Centre. If such a decision is taken, then Maharashtra government will support it.”

State Bank of India’s Ecowrap report had recently revealed that petrol and diesel would be priced Rs 75 and Rs 68 per litre if the two fuels were brought under the GST system. This calculation is of course keeping in consideration the current global crude prices, rupee dollar exchange rate, transportation and dealer commission charges.