05 October 2018 Current Affairs:
Last month, Rajasthan had cut its state VAT on diesel and petrol by Rs.2.5 per litre, while Karnataka and Andhra Pradesh both had cut their VAT rates by Rs.2 per litre. West Bengal and Kerala had cut their VAT rates on petrol and diesel by Rs.1 per litre in September and May, respectively. Karnataka and Kerala refused to cut rates further following day's development.
So far, the Modi’s government has raised the excise duty on diesel by Rs.14 and petrol by Rs.9 per litre. The Centre had hiked excise duty by Rs.10 and reduced it by only Rs. 2.50.
About Excise goods and Excise Duty:
♦ An excise or excise tax is any duty on manufactured goods which is levied at the moment of manufacture, rather than at sale.
♦ Excises are typically imposed in addition to an indirect tax such as a sales tax or value-added tax (VAT).
♦ The liability to pay tax excise duty is always on the manufacturer or producer of goods.
♦ Excise taxes are most often levied upon cigarettes, alcohol, gasoline and gambling.
♦ The term "excisable goods" means the goods which are specified in the First Schedule and the Second Schedule to the Central Excise Tariff Act, 1985, as being subject to a duty of excise and includes salt.