india

Updated: Apr 29, 2020 13:53 IST

Nagaland has followed in the footsteps of two other states in the north-east -- Assam and Meghalaya – that imposed coronavirus disease (Covid-19) cess on petroleum products last week.

In a notification issued on Tuesday, Sentiyanger Imchen, the additional chief secretary and finance commissioner, Nagaland, stated that the Covid-19 cess would be Rs 5 and Rs 6 per litre of diesel, petrol and other motor spirits, respectively.

“In exercise of powers conferred by sub-section 3 of section 3A of the Nagaland (Sales of Petrol and Petroleum Products including Motor Spirit and Lubricant) Taxation Act, 1967, the Governor of Nagaland is pleased to notify than in addition to the existing rate of tax and cess, Covid-19 cess shall be levied,” said the notification that came into effect from Tuesday midnight.

On April 21, Assam had hiked the price of petrol from Rs 71.61 to Rs 77.46 per litre and that of diesel from Rs 65.07 to Rs 70.50 per litre. “Due to a decrease in international oil prices, it will affect the amount Assam gets as royalty for oil from ONGC (Oil and Natural Gas Corporation) and Oil India Limited. This increase in prices is an attempt to cover some of the losses, maybe Rs 50 crore in 30 days. This is a temporary measure and there will be a rollback once the Covid-19 crisis gets over,” Assam finance minister Himanta Biswa Sarma had said.

On April 21, Meghalaya, too, had increased its taxes on petrol and diesel. Now, a litre of petrol and diesel costs Rs 74.9 and Rs 67.5, respectively, in the state. Meghalaya government has also decided to levy 2% as sales tax surcharge on both petrol and diesel.