Punjab cabinet slashes 50 per cent VAT on diesel, petrol and LPG

In a significant move to reduce the prices of the petro-products including the LPG in the state, the Punjab cabinet which met here on Thursday night under the chairmanship of Punjab Chief Minister Parkash Singh Badal today approved the reduction in the levy of vat by 50 per cent on the recently enhanced prices by the Centre.

Disclosing this here today a spokesman of the Punjab government said that these decisions would give a relief of rs.75 crore per annum to the people of Punjab.

With this decision diesel in Punjab would be available at the cheapest price than any other state in the country including Haryana.

This decision would also give relief on the prices of petrol, which had now been reduced by 65 paisa per liter. There would be 50 per cent reduction on the levy of vat also on the incremental prices of LPG.

The spokesman further said that the matter would be referred to the state election commission and the notification in this regard would be issued only after seeking approval from the commission.

Source : Zee News - Noida, Uttar Pradesh, India,  dated 12/06/2008