Cooking gas to cost more?

The government plans to withdraw subsidies for taxpayers, which will hike cooking gas prices to almost Rs 480 a cylinder. The Cabinet is expected to discuss shortly a proposal to make all taxpayers holding PAN cards pay an extra Rs 180 per cylinder. Currently, the price of an LPG cylinder is subsidised by both the government (Rs 22.50/cylinder) and public sector oil marketing companies (Rs 190/cylinder). Consequently, consumers have a cushion of around Rs 212.50 per cylinder. source ET

This i expect will hit directly at the silent Taxpaying middle class which i have maintained has no face or political power, already paying a huge %age of income in direct and indirect taxes. As it is he has introduced a whole bunch of Service taxes.
First of all why in one single shot do they want to reduce subsidy burden? is this Upa s Shock and Awe tactics? How will this be implemented as it is logistically difficult ? and what about the humongous gap of kerosene subsidy to actual cost? why not revisit that- that too when more than 39% of it gets diverted and sold in open market..Last year’s kerosene subsidy cost the taxpayer 100 billion rupees ($2.2 billion). A large part of this sacrifice is useless because many needy families are being forced to return empty-handed from shops that sell subsidized goods. source Bloomberg

Why are they not looking at it? and what about the burgeoning number of luxury diesel cars including C segment cars enjoying Fuel subsidy?

And what about the Crorepati farmers including many politicians who enjoy Zero tax income ? Will they ever be taxed?


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