Union Government links LPG subsidy to income

No LPG subsidy for taxpayers who earn over Rs 10 lakh annually. Union government is consideringto lift the subsidy on LPG cylinder for consumers whose annual income is above Rs 10 lakh.

Reason:Government has found many of illegal gas connections and is saving thousands of crore of rupees by stopping supply to those consumers.

• Consumers whose income is above Rs 10 lakh, gas subsidy will not be given. So far, 30 lakh people have given up LPG subsidy. That subsidy will be given to poor people.
• Currently, all households are permitted to 12 cylinders of 14.2-kg each at subsidised rate of Rs 419.26, while the market price of each cylinder is Rs 608.
• In the assessment year 2014-15, a total of 26 lakh assesses were reported as having a taxable income above Rs 10 lakh.
• The number of LPG consumers in the country fell from 35 crore to 14.78 crore after the start of Direct Benefit Transfer on LPG (DBTL) scheme that eliminated inactive customers and duplication in the rolls.

Key point:
Minister for Petroleum and Natural Gas:Dharmendra Pradhan