HomeIndiaLPG Subsidy Cut: Centre Tightens Rules For High Income Families

LPG Subsidy Cut: Centre Tightens Rules For High Income Families

Hyderabad: The Central government has intensified action against high income families receiving LPG subsidy benefits. Families with annual income above Rs 10 lakh may soon lose LPG subsidy support as oil marketing companies begin stricter verification using Income Tax records.

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The latest move targets consumers whose income exceeds the eligibility limit fixed by the government. Although this rule has existed since December 2015, authorities earlier depended mainly on voluntary surrender of subsidy by affluent consumers.

Now, major public sector oil companies including Indian Oil Corporation, Bharat Petroleum and Hindustan Petroleum are directly collecting financial details through Income Tax Department records.

Officials are reportedly using PAN card linked information to identify consumers whose income crosses the prescribed limit. Based on this data, subsidy removal lists are being prepared.

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LPG Subsidy Eligibility Rules Tightened

Under the revised verification process, authorities will consider not only the income of the LPG connection holder but also the earnings of the spouse. If either person earns more than Rs 10 lakh annually, the household may become ineligible for LPG subsidy benefits.

Several consumers have already started receiving SMS alerts from oil companies. These messages inform users that their income, according to Income Tax records, exceeds the permitted limit. Consumers are also being asked to raise objections within seven days if the information is incorrect. Otherwise, the subsidy may be discontinued automatically.

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The Centre believes this move will reduce the subsidy burden on the government and help redirect funds toward welfare schemes aimed at economically weaker sections.

However, the government clarified that beneficiaries under the Pradhan Mantri Ujjwala Yojana will continue receiving subsidy support. The new restrictions will not apply to poor households covered under the welfare scheme.

Officials advised consumers whose income is below Rs 10 lakh but who still received warning messages to immediately contact their gas agency or file complaints through grievance portals for correction of records.

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