Welfare fuel: Himachal Pradesh proposes levy of up to Rs 5 per liter on petrol, diesel to help orphans and widows

New Delhi: The Himachal Pradesh government has proposed a new tax on petrol and diesel to fund welfare measures for orphans and widows.chief minister Sukhwinder Singh Suhu The Himachal Pradesh Value Added Tax (Amendment) Bill, 2026, was introduced in the Lok Sabha on Friday, seeking to impose “orphan tax and widow’s tax” on petrol and high-speed diesel, news agency PTI reported.The proposed levy is a completely new tax that will be levied on the first sale of fuel in the state, meaning it will be levied when petroleum or diesel is sold by oil marketing companies to dealers instead of at every stage of retail sales.The tax rate will be announced by the government and will be capped at Rs 5 per liter.Under the bill, the state currently has several programs in place for orphans and widows, but lacks a dedicated, permanent funding mechanism. This process aims to create a stable source of income for welfare funds targeting these groups.All proceeds from the levy will be deposited directly into the Orphans and Widows Benefit Fund to provide financial assistance and support.Suhu said the move was aimed at strengthening support for vulnerable groups. Once passed by Parliament, the bill will be sent for final assent before taking effect across the state.