A week after Petroleum Minister Dharmendra Pradhan urged the state governments to cut the value added tax or VAT on petrol and diesel, two BJP-ruled states Gujarat and Maharashtra have today slashed the VAT on fuel.
The Gujarat government on Tuesday announced a 4 per cent cut in VAT on petrol and diesel, effective from midnight, to bring down fuel prices in the state.
The Maharashtra government reduced petrol and diesel prices by Rs 2 and Rs 1 respectively.
Making the announcement, Chief Minister Vijay Rupani told the media that with the reduction in VAT, petrol price will be reduced