Repeated Tax Hikes Burdening Himachal People : Rakesh Jamwal

Shimla, Aug 12: BJP State Chief Spokesperson and MLA Rakesh Jamwal has criticised the Congress government over the imposition of a 60-paise-per-litre Orphan and Widow Cess on petrol and high-speed diesel, alleging that the state government is repeatedly increasing the financial burden on the people through taxes and cesses.

Jamwal said the Congress government had increased VAT on diesel by approximately ₹3 per litre in January 2023, raising it from around ₹4.40 to ₹7.40 per litre. Within six months, in July 2023, diesel VAT was increased by another ₹3 per litre to ₹10.40. He said the two hikes together increased the diesel VAT burden by approximately ₹6 per litre in 2023.

He said the government has now imposed an additional 60-paise-per-litre cess on petrol and high-speed diesel under the provisions of the Himachal Pradesh Value Added Tax Act, further burdening consumers at a time when households, farmers, horticulturists, transporters and businesses are already facing rising costs.

Jamwal also criticised the increase in Additional Goods Tax on cement from ₹11 to ₹16 per bag. He said the combined impact of higher fuel and cement costs would be felt across the economy, particularly in a hill state where road transportation plays a crucial role in the movement of essential commodities and construction materials.

“First, the government increased the tax burden on cement and now it is increasing the cost of the fuel used to transport cement, steel and other construction material. Ultimately, the common citizen has to bear this double burden,” Jamwal said.

He said higher diesel prices would increase transportation costs for cement, steel, sand, gravel, food grains, fruits, vegetables and other essential commodities. Farmers, horticulturists, taxi operators, transporters, small traders, the middle class and families undertaking construction would be particularly affected, he added.

Jamwal said the welfare of orphans and widows is an important responsibility of the government and the BJP supports measures aimed at assisting vulnerable sections. However, he argued that such welfare programmes should be financed through proper budgetary provisions and sound financial management rather than repeatedly imposing new financial burdens on citizens.

“Every welfare programme cannot become an excuse to impose a new tax or cess on the people. The government must improve its financial management instead of repeatedly reaching into the pockets of ordinary citizens,” he said.

The BJP leader said the Congress had come to power promising relief and a “Sukh Ki Sarkar”, but its economic decisions had increasingly turned it into a “Bojh Ki Sarkar”.

He demanded that the state government reconsider the newly imposed 60-paise-per-litre cess on petrol and diesel and focus instead on fiscal discipline, expenditure rationalisation and efficient utilisation of available resources.

Jamwal said the two diesel VAT hikes of ₹3 per litre each, the ₹5-per-bag increase in the tax burden on cement and the latest 60-paise-per-litre cess reflected what he described as the government’s policy of continuously increasing the financial burden on the people of Himachal Pradesh.