The sales tax on cars has been made uniform at 12 per cent for all the states. The orders from all the state governments have been submitted to finance ministry just ahead of the review meeting on sales tax reforms by finance minister Yashwant Sinha later this week.
The issue had become a bone of contention with some of the states refusing to toe the line and sticking to a sales tax of 6 per cent. It was threatening the consensus reached last year by all the state governments at a meeting chaired by Yashwant Sinha.
The meeting had decided on uniform floor tax rates for commodities and also decided to end sales tax based incentive schemes including revised definition of backward areas from January 1.