NewsWhore
11-28-2007, 02:40 PM
The government will subsidize regular diesel by eliminating the 16% VAT tax on the fuel. This step is being taken in an attempt to keep fares and cargo transportation fees at present levels. At the current price levels for diesel, taxes are RD$17.55 for the VAT and RD$14.24 for other taxes included in the Hydrocarbon Law 112-03, making for a total of RD$31.79 per gallon of diesel. Unfortunately, this price reduction may not make it to the everyday driver. The transportation unions have their own gas stations and according to a report in Listin Diario, the government will only supply the reduced rate diesel to these stations. The government will also place inspectors at these sites to prevent "detours" of the reduced rate diesel fuel.
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