Home India News No move to cut VAT on diesel: Chavan

No move to cut VAT on diesel: Chavan

By IANS,

Mumbai : Maharashtra Chief Minister Prithviraj Chavan Friday said reducing value added tax (VAT) on diesel was not being considered by his government.

Speaking to reporters here, Chavan said that the state government has not been instructed by the central government to reduce tax on diesel to minimise the burden on consumers after the Rs.five per litre hike.

“It looks difficult given the drought situation,” he said.

The government had Thursday announced a hike in heavily-subsidised diesel price by Rs.5 a litre to check fiscal deficit and limited availability of subsidised cooking gas cylinders per family to six per year.

Asked his views on the government’s move for foreign direct investment (FDI) in multi-brand retail, Chavan said that Maharashtra’s farmers will benefit from it.

“Leave it to the states for implementation. A supply chain will be created and bring in transparency. Competition has helped aviation and telecom sectors,” he said.