Meghalaya CM Sangma announces reduction in VAT on fuel; Prices to be cheaper by ₹10

Abiding by the central government's decision to slash excise duty on petrol and diesel prices across the country, the Meghalaya government has also decided to reduce value-added taxes (VAT) on petrol and diesel prices, making it Rs 10 cheaper in the state.

Meghalaya Chief Minister Conrad Sangma on Friday announced that VAT on petrol will be reduced from 20% to 12% whereas VAT on diesel will be reduced from 13.5% to 5%.

"Cabinet has decided to provide a relief on the fuel prices in the state by reducing the VAT on petrol from 20% to 13.5 % and diesel from 12% to 5% per litre, providing relief of Rs 10 to our consumers," Sangma tweeted.

It is pertinent to note here that following the Centre's decision to reduce Central Excise Duty on petrol and diesel by Rs. 5 and Rs. 10 respectively to give relief to citizens amid the soaring price of fuel, a total of 22 states and 2 UTs have initiated a corresponding cut of VAT on Petrol and diesel.

Centre announces reduction in excise duty on fuels

The central government on Wednesday announced a reduction in excise duty on petrol and diesel prices across the country. As a part of it, petrol and diesel prices have been reduced by Rs. 5 and Rs. 10 respectively from Thursday, November 4. Apart from that, the Centre has also appealed to the states to cut down on VAT in relief to the people. 

Following the announcement, several states including Assam, Tripura, Manipur, Karnataka, Goa, Uttar Pradesh, Gujarat, Himachal Pradesh, and Uttarakhand also decided to make an excise duty cut. Just hours after the Centre’s decision to reduce the fuel prices, the states also announced the excise duty cuts.

States slash VAT on petrol, diesel

A total of 22 States and two union territories have undertaken a reduction of VAT on petrol and diesel to give relief to consumers. However, there are 14 States and 6 UTs which have not reduced VAT in Petrol and Diesel. These states are Maharashtra, Delhi, West Bengal, Tamil Nadu, Telangana, Andhra Pradesh, Kerala, Meghalaya, Andaman and Nicobar, Jharkhand, Odisha, Chattisgarh, Punjab, and Rajasthan. 

States like Assam, Tripura, Manipur, Karnataka, and Goa have reduced the prices of both the fuel by Rs. 7 per litre in addition to the Centre's relief while Uttar Pradesh announced a major drop as they reduced fuel prices by Rs. 12. 

With Inputs from ANI

Image: PTI