New Delhi: Following the Centre’s litigation, Odisha Chief Minister Naveen Patnaik on Thursday announced reduction in Value Added Tax (VAT) on petrol and diesel by Rs 3 per liter to provide relief to consumers.
According to the Chief Minister’s Office, the new prices will be applicable from the midnight of November 5, so that the general public can get relief from the rising fuel prices. Chief Minister Naveen Patnaik today announced reduction of VAT by Rs 3 on petrol and diesel, which will be applicable from midnight of 5 November.
“In view of this deduction, the loss of VAT revenue to the state exchequer will be Rs 1400 crore per annum. This is in addition to the loss of Rs 1.6 per liter on petrol and Rs 2.8 per liter in VAT collection. Ltr on diesel, the total amount is Rs 700 crore. Rs.
So there has been a loss of about Rs 2000 crore to the state exchequer due to reduction in VAT, but it is going to come as a big relief to the people of Odisha. Read also: Center’s excise duty cut on petrol, diesel will cost the exchequer Rs 45,000 cr: Report
With this reduction, the prices of petrol and diesel in Odisha are likely to be one of the lowest in the country, the state government said. Read also: Bihar reduced VAT on petrol and diesel by up to Rs 3.90, CM Nitish Kumar announced
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