VAT on petrol, diesel increased again in Andhra Pradesh
The State Government has imposed once again, the second time in a month, the additional VAT on petrol and diesel which would come into force from Sunday.
Amaravati: The State Government has imposed once again, the second time in a month, the additional VAT on petrol and diesel which would come into force from Sunday.
Special Chief Secretary D Sambasiva Rao of Revenue (Commercial Taxes -2) Department issued the GO on Saturday increasing the additional burden once again on people.
It may be recalled that the State government imposed the VAT on January 29 which was between Rs 0.50 and Rs 0.70 on petrol per litre and below Rs 1 on diesel by amending the AP Value Added Tax Act, 2005.
Interestingly, last time the percentage of the tax was enhanced from 31%+Rs 2 to 35.20% on petrol and 22.25%+Rs 2 to 27% on diesel.
As per the latest amendment to the AP Value Added Tax Act, the rate of tax on petrol would be 31%+Rs 2.76 per litre instead of earlier 31%+Rs 2 per litre. Likewise, the rate of on all kinds of diesel oils including C-9 would be 22.25%+3.07 per litre as against the earlier 22.25%+Rs 2 per litre.
In essence, the rate of tax on petrol was hiked by 76 paise and on diesel by Rs 1.07. it is estimated that the burden of people due to the hike in the prices of petrol and diesel would be around Rs 500 crore per annum.
In fact, the then Chief Minister N Chandrababu Naidu has reduced Rs 2 on each petrol and diesel per litre before the elections. At that time, the petrol prices were skyrocketing crossing more than Rs 90 per litre.