New Delhi: At a time when oil prices have been on the boil leading to war of words between the Centre and states, PM Modi on Wednesday appealed to the non-BJP ruling states to reduce VAT tax on fuel prices while addressing a virtual meeting with the Chief Ministers of several states. Responding to the PM's appeal DMK MP TKS Elangovan claimed that PM Modi has particularly quoted non-BJP ruling states and appealed to reduce the taxes being levied by the states on fuel.


Irked Elangovan said that the PM doesn't ask states like Karnataka or Gujarat should also reduce taxes. "The quantum of tax collected by the Government of India is three times what is collected by these states," news agency ANI said, quoting Elangovan.


"The Central govt talks about one thing but they do something else. They need money, they talk about a $5 trillion economy but are selling PSUs like a poor family in distress," the DMK MP told ANI.






Also read | 'Injustice To The People': PM Modi Urges Non-BJP States To Reduce VAT On Petrol, Diesel


In the meeting, Modi said that the Centre has reduced taxes on fuel last year and urged the states to do the same so that there wouldn't be more pressure on a common person. "Some states abided by, but some states did not do. In these states, petrol, and diesel is still dearer. This is, in a way, an injustice to the people of the state and also detrimental for the economy of other states," PM Modi said, as quoted by Hindustan Times.


Modi in a virtual meeting with the Chief Ministers of several states said that states like Maharashtra, Tamil Nadu, Andhra Pradesh, Telangana, Kerala and Jharkhand have not reduced taxes and this hits a common person hard. He further said, he wasn't criticising but appealing these states to reduce taxes on fuel prices.


Ever since Russia invaded Ukraine in February globally the fuel prices have been spiralling as a result these price hikes took inflation to a record 15-month high in India. The fuel price rise was seen in March after almost five months of hiatus. However, for the last few days, petrol prices have been standstill in India despite a drop in global crude rates.