Himachal govt imposes ₹0.60 per litre widow, orphan cess on petrol, diesel
Shimla, August 12
The Himachal Pradesh government officially imposed a Widow and Orphan Cess of 60 paise per litre on petrol and high-speed diesel, with the levy coming into force from midnight on August 11.
The State Taxes and Excise Department issued a notification on Tuesday under Section 6-A of the Himachal Pradesh Value Added Tax Act, 2005, authorising the levy at the point of first sale of petrol and high-speed diesel in the state.
According to the notification, the Orphan and Widow Cess will be charged at ₹0.60 (60 paise) per litre on both petrol and high-speed diesel. The notification has been issued with the approval of the Council of Ministers.
The move follows the passage of the Himachal Pradesh Value Added Tax (Amendment) Bill, 2026 by the Himachal Pradesh Legislative Assembly during the Budget Session earlier this year.
The amendment had empowered the state government to levy a Widow and Orphan Cess of up to Rs 5 per litre on petrol and high-speed diesel. The Bill was passed by voice vote in the Assembly, providing the legal framework for imposing the additional cess.
The government has now exercised that power by fixing the levy at 60 paise per litre, substantially below the maximum ceiling of Rs 5 permitted under the amended legislation.
The levy will be collected at the first point of sale within Himachal Pradesh, meaning it will be imposed before the fuel moves through subsequent stages of sale in the state.
The notification has been circulated to the Commissioner, State Taxes and Excise, senior departmental officers and other concerned authorities for implementation.
The new cess will marginally increase the effective cost of petrol and diesel in Himachal Pradesh, while the revenue generated is intended to support welfare measures concerning widows and orphaned children.
— ANI
Reader Comments
Another tax on fuel! Petrol prices are already sky-high and common people are struggling. Why not fund welfare schemes through proper budgeting instead of adding more burden on the public? This will impact transportation costs and ultimately food prices too.
It's good that they kept it at 60 paise instead of the full ₹5 they were allowed. A balanced approach. If the money actually reaches the intended beneficiaries, this could set a positive precedent for other states to follow.
Main himachal se hoon aur yeh decision theek hai agar sahi jagah paisa pahunchta hai. Lekin hum sab jaante hain ki aise funds ka kitna hissa actually needy tak pahunchta hai. Sarkar ko quarterly report publish karna chahiye. 😊
I appreciate the intent behind this, but a targeted welfare cess on fuel is a regressive tax. It affects everyone equally regardless of income. Better to fund these programs through progressive taxation that falls more on the wealthy.
Himachal has a large number of widows who lost their husbands during the disaster relief operations and road accidents. If this cess helps them live with dignity, I'm all for it. The amount is minimal - we spend more on chai at a tapri!
V Vivek B