New Delhi: The Maharashtra government has asked to reduce the value-added tax (VAT) on fuel on Thursday. Chief Minster Eknath Shinde has asked to reduce the (VAT) on petrol by Rs 5 and on diesel by Rs 3 per litre respectively. The reduction in VAT will cost the state government up to Rs 6,000 Crore.
Deputy CM Devendra Fadnavis said the decision was part of the Shiv Sena-BJP government’s commitment to people’s welfare.
Shinde informed reporters after a cabinet meeting at Mantralaya that the decision would entail a burden of Rs 6,000 crore on the state exchequer, according to a PTI report
Before the reduction in VAT, petrol prices in Mumbai was at Rs 111.35 per litre, while a litre of diesel used to cost Rs Rs 97.28/litre.
After the announcement by the Maharashtra government, the new price of petrol will be Rs 106.36 per litre in Mumbai and one litre of diesel can be bought at Rs 94.28 per litre.
Meanwhile, Shinde also announced an assistance of Rs 3 lakh to the family of a Shiv Sainik who died after a heart attack near former CM Uddhav Thackeray's residence last week.
The incident took place on July 6, when Sena functionary Bhagwan Kale (55) along with other party activists went to Thackeray's residence 'Matoshree' in Bandra area of Mumbai to declare their support to him.
Kale suffered a heart attack and died while being rushed to a hospital. After coming to know about it, CM Shinde announced an assistance of Rs three lakh for his family, Shinde's office here said in a release.
Following the CM's directions, former MLA Pandurang Barora and Sena's Thane rural secretary Sainath Tare handed over Rs one lakh out of the total amount to Kale's family, it said.