Uttarakhand curbs Vat tax on fuels for industrial units

Dehradun, December 28: To benefit the industrial units, it has been now decided to cut the Vat on the fuels across the state. The decision has been taken in view of attracting industries and giving relaxation to the existing one in the state.

The Government would now charge a VAT of only 5 per cent per litre on diesel for industrial usage. The existing rate of VAT on diesel is Rs 17.48 percent per litre or Rs 9.41 whichever is higher. Similarly the tax on industrial gas has been reduced from 20 percent per cubic liter to 5 percent. This decision was taken by the government cabinet on Wednesday.

Informing about the cabinet decision, the spokesman of State Government and cabinet Minister, Madan Kaushik said that the State would get more revenue from these decisions as industries were getting diesel from neighboring States like UP which levied a tax of 5 %. The reduction in tax on gas is also expected to add Rs 6 Crore to the government kitty as consumption in the state is expected to increase by it.

Along with this another decision aims at collecting pending water, sewer bills and giving relief to the consumers, the cabinet gave approval for waiver of the pending penalty during whole month in January. The consumers who had not deposited the previous bills will get waiver in penalty if they will pay bills in the given duration.