Relief to oil sector as natural gas may be included in GST to benefit ONGC

(From right) Union Finance Minister Arun Jaitley with Puducherry Chief Minister  V Narayanasamy and Revenue Secretary Hasmukh Adhia at the17th GST Council meet at Vigyan Bhavan in New Delhi on Sunday	 Photo: pti

Latest News – The GST Council may decide to include natural gas in the Goods and Services Tax (GST) regime as a measure to provide some relief to the oil and gas sector.

Currently, crude oil, petrol, diesel, jet fuel or aviation turbine fuel (ATF) and natural gas are not included in the new indirect tax structure, which is set to kick in from July 1.

This essentially means that various goods and services procured by the oil and gas industry will be subject to GST, but the sale and supply of oil, gas and petroleum products will continue to attract earlier taxes like excise duty and VAT.

Unlike other industries which can take credit for any tax paid towards the furtherance of business, no credits on input GST will (Read More)

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