In the wake of increased minibus fares, Minister of Finance Dr. Ashni Singh today announced a further cut in the excise tax rate on gasoline following previous cuts made last year.
According to GINA, Minister Singh stated that, with effect from today, the excise tax charged on gasoline would drop from 15 percent to 10 percent. He said that this decision was taken in light of the rise in the imported cost of gasoline. The acquisition price on the last shipment of gasoline bought by GuyOil was US$142.85 per barrel which is an increase of 19.7 percent above the acquisition price of US$119.32 per barrel at the end of last year, GINA said.
GINA said that the reduction of the excise tax rate on gasoline would allow GuyOil to continue to retail gasoline at $980 per gallon, resulting in no increase in public transportation fares to commuters.
“The Government would continue to closely monitor the acquisition cost of refined fuel products and would make the appropriate interventions by adjusting the excise tax rates in order to minimise any adverse consequence on the economy from higher fuel prices on the world market”, GINA said.
