Assam reduces VAT on fuel to effect Rs 2.50 cut

GUWAHATI, Oct 4 - Following the reduction of Rs 2.50 per litre in the prices of petrol and diesel by the Centre, the Assam government has also by a notification effected a similar cut of Rs 2.50 per litre by reducing the VAT charges.

The notification has come into force with effect from midnight of October 5. The new rates of petrol and diesel in the State will thus be Rs 81.50 litre and Rs 73.91 litre respectively.

�The tax cut of Rs 2.59 per litre on both petrol and diesel will mean a loss of revenue of Rs 400 crore to the State government. But despite the projected loss, all developmental works will continue in the same pace,� Assam Finance Minister Himanta Biswa Sarma tweeted.