Union Petroleum Minister Dharmendra Pradhan has proposed an idea to bring the LPG cooking gas within the purview of Goods & Services Tax (GST) tax regime.

Taking part at an event in New Dehi, Pradhan said that coal, which creates smoke pollution and causes harm to the environment, is placed under 5% GST slab.  He wondered how the natural gas filled in Liquefied Petroleum Gas (LPG) cylinders, which doesn’t cause any sort of pollution, can be kept out of the GST regime.

“The Ministry of Petroleum & Natural Gas has taken up the issue with the Ministry of Home Affairs urging it to bring LPG cooking gas under GST’s purview.  Cooking gas is presently placed only under 5-12% VAT category. GST, which was introduced across the country from the midnight of 30th June, put paid to various taxes such as VAT, sales tax, service tax, etc.

“However, crude oil, petrol, diesel, natural gas, fuel for airplanes, etc. haven’t been brought yet under the GST tax regime as they are continued to be taxed under the VAT system. The situation ought to change,” Pradhan concluded.