People will have to loose their pockets to buy LPG gas cylinders from July. Due to the reduction in GST and subsidy, people will have to spend additional 32 rupees now. In addition, two years of compulsory surveillance, installation, new connections and additional cylinders documents have to be spent more on administrative fees.

LPG has been kept in the 5% slab of GST. Earlier, many states did not have to pay tax for LPG, while some states had to give VAT of 2 to 4 percent. After the GST is implemented, the cost of LPG cylinders will increase by 12-15 rupees in those states where tax on LPG is not available. In the states where VAT is taken, it will depend on the difference between GST and the prevailing tax.

However, the impact of the reduction in subsidy from June will also be on consumers. The National Secretary of the All India LPG Distributors Federation told the Times of India, “For example, the customers of Agra who are eligible for subsidy have been given a subsidy of Rs 119.85 given till June. According to the new notification, now only 107 rupees will come into their bank account.

The combined effect of these two will be that additional cylinders will have to spend additional 32 rupees. The price of different states will vary. Due to price change, there is a difference between transport and logistics in different states.

At the same time, senior officials of government fuel retailers say that there is no difference in the subsidy given to consumers due to GST. Subsidy changes due to international price. The official said, “Even before where VAT was levied on LPG, consumers knew that they would have to bear the burden of taxation as a subsidy.

However, GST has reduced the commercial LPG cylinder by Rs 69. Earlier, the commercial use of LPG cylinders was 22.5%, which included 8% product tax and 14.5% VAT, but after GST only 18 percent tax is being levied. The price of these cylinders has come down from 1,121 to Rs 1,052.