VAT on fuels in Delhi increased to 30%
New Delhi, May 5, 2020
After imposing a 'special corona fee' on liquor, the Delhi government has also hiked the Value Added Tax (VAT) on petrol and diesel to 30 per cent.
In an order issued late Monday night, the Finance Department hiked the VAT, making it "30 paisa in the rupee".
So far, VAT on petrol was 27 per cent and on diesel 16.75 per cent.
The hike has been done in the local tax on vehicle fuels which will be for the city government.
As on Tuesday morning, petrol price in Delhi is Rs 71.26 per litre and diesel Rs 69.39 per litre.
The VAT increase comes after the government imposed a 'special corona fee' of 70 per cent of the MRP on liquor from Tuesday.
On Sunday, while announcing the relaxation in the lockdown -- extended for another two weeks from Monday -- Chief Minister Arvind Kejriwal said his government is finding it difficult to pay the staff salaries due to a revenue loss of Rs 3,200 crore in April, compared with the previous year.