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Diesel subsidies
Budget bites on vehicles
@ Issue Date: Mar 16, 2012
Budget 2012 is a mixed bag. It hikes taxes on big cars and SUVs. But the move is incomplete, as it has failed to take steps to stop misuse of diesel fuel subsidy by cars. The Union Budget 2012 has marginally hiked the excise duty on large cars from 22 per cent to 24 per cent. MUVs and SUVs will attract higher duty—up to 27 per cent. But this urgently needs support to discourage fuel guzzling and reduce toxic emissions.
