Government of Karnataka gave another shock, diesel becomes expensive by Rs 2, know new prices – Karnataka Government Increased Sales Tax on Diesel Diesel Diesel Became Costlier by Rs 2 NTC

The Government of Karnataka has increased the sale of diesel by giving another blow to the people. The government has revised the rate of Karnataka sales tax (KST) on diesel from 18.44% to 21.17%, due to which the new price of diesel in the state has increased to Rs 91.02 per liter. This rule has become effective from April 1, 2025.
Recently, the government had increased the prices of property tax, electricity and milk in the state. This has increased additional burden on the people of Karnataka.
Sale tax was reduced in 2024
At the same time, before 4 November 2021, Karnataka had levied 24% sales tax on diesel, resulting in the sale price of ₹ 92.03 per liter. However, in June 2024, the government reduced the tax rate to 18.44%, due to which the price of fuel in Bengaluru was reduced by Rs 89.02 per liter.
Despite the increase in sales tax by the Government of Karnataka, diesel prices are lower than in neighboring states. Diesel prices in the surrounding areas of Karnataka are as follows as of 31 March, 2025.
- Hosur (Tamil Nadu): ₹ 94.42 per liter
- Kasargod (Kerala): ₹ 95.66 per liter
- Anantapur (Andhra Pradesh): ₹ 97.35 per liter
- Hyderabad (Telangana): ₹ 95.70 per liter
- Kagal (Maharashtra): ₹ 91.07 per liter
Government defended decisions
The Karnataka government has defended its decision, saying that even after the increase, the price of diesel in the state remains competitive compared to its neighbors. This step is expected to generate additional revenue for the state. Officials claim that this money will be used for infrastructure development and public welfare schemes.