Telangana Finance Minister Etela Rajender on Wednesday said the state would suffer huge financial losses if the Centre brings petrol and diesel under the ambit of Goods and Services Tax (GST).

Speaking to reporters on the sidelines of a programme, the minister said Telangana differs with some of the terms of reference issued by the 15th Finance Commission. "This (bringing petrol and diesel under GST) is not a correct decision. It would hurt the federal spirit of our country. If these products are brought under GST, state finances will be further reduced," he said. Liquor and fuel should not come under GST, he added.