LPG subsidy has been linked to income by Union Government [ Current Affairs ]

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Connection LPG subsidy has been announced by Union Government for income of consumers in order to ensure that the subsidy benefits go to the targeted group. So that now the consumer who has taxable income likes more than ten lakh rupees will not get the LPG subsidy.

  • Under Income Tax Act, 1961 this income would be computed.
  • While booking cylinders January 2016, this decision will be given effect to primarily on self-declaration basis of LPG consumers.
  • With this move Government will save up to Rs. 113 crore from this decision and it will affect at least 60 lakh LPG consumers of the total 16.5 crore LPG consumers in the country.

Background:

  • Previously during the ‘Give it up’ campaign many LPG consumers have given up subsidy voluntarily but Government fond that consumer in the higher income bracket should get LPG cylinders at the market price.
  • Faraway, under the campaign 57.50 lakh LPG consumers have opted out of LPG subsidy voluntarily that aims to ensure that the subsidy benefits go to the targeted group.

- Published on: December 30, 2015