LPG, petrol, diesel cheaper in Chhattisgarh after VAT reduction

June 26th, 2008 - 4:45 pm ICT by IANS  

Raipur, June 26 (IANS) Chhattisgarh’s Bharatiya Janata Party (BJP) government Thursday reduced the value-added tax (VAT) on petrol and diesel and withdrew it fully for cooking gas (LPG). Chief Minister Raman Singh told reporters that VAT on petrol and diesel had been reduced by 3 percent to 22 per cent.

LPG has become cheaper by Rs.13.61 per cylinder, petrol by Rs.1.25 per litre and diesel by 92 paise.

Each LPG cylinder will now cost Rs.340.24, petrol Rs.50.89 a litre, and diesel Rs.37.71 a litre.

The new rates come into immediate effect.

The state government will lose an estimated Rs.1.25 billion on account of VAT reduction. It now proposes to pressurise the centre to share at least 50 percent of the loss.

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