Petrol, diesel get costlier in Rajasthan, VAT hiked

1 min read 22 Mar 2020, 12:31 PM IST Join us

Agencies

VAT on diesel prices will increase from 22% per cent to 26 per cent while VAT on petrol will be increased from 30 to 34 per cent.

Earlier this month, the central government had hiked excise duty on petrol, diesel.

Jaipur: According to an official notification released by the Rajasthan government, the Value Added Tax(VAT) on petrol and diesel prices will see a hike of 4% with effect from today.

VAT on diesel prices will increase from 22% per cent to 26 per cent, whereas VAT on petrol will be increased from 30 to 34 per cent.

" In exercise of the powers conferred by sub-section (5) of section 4 of the Rajasthan Value Added Tax Act, 2003 (Act No.4 of 2003), the state government being of the opinion that it is expedient in the public interest so to do, hereby makes the following amendments in Schedule-VI appended to the said Act, with effect from 22.03.2020," read the official statement.

Rajasthan Chief Minister Ashok Gehlot has ordered a total lockdown in the state till March 31, barring essential services, amid increasing coronavirus cases in the country.

Earlier this month, the central government had hiked excise duty on the fuel. The excise duty hike, which would give the government ₹39,000 crore additional revenue, could have led to an increase in retail prices by ₹3 per litre each, but the oil companies adjusted them against the fall in international crude prices which halved to less than USD 30 per barrel.

Today, jet fuel prices were slashed by 12 per cent after oil firms reverted back to fortnightly revisions to pass on the benefit of falling crude oil prices.

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