Delhi Govt. make tall promises in budget, slashes VAT to 5%

New Delhi: The Delhi Government on Monday slashed value-added tax (VAT) rates from 12.5 percent to 5 percent.

Presenting the budget for 2016-17, Deputy Delhi Government made e rickshaws, battery operated vehicles, hybrid vehicles, sweets, snacks, savoury items, marbles and ready-made garments cheaper.

Announcing Rs 46,600 crores annual budget for 2016-17, Sisodia pegged the plan outlay at Rs 20,600 crore.

Maintaining that Delhi has registered a growth of 17 percent in 2015-16, Sisodia said Chief Minister Arvind Kejriwal-led government was encouraging ease of doing business.

He allocated Rs. 100 crores for delivering basic amenities to jhuggi bastis, while art, culture and language will also be boosted by an expenditure of Rs 54 crore.

Under the 'Bill Banao Inam Pao' scheme, which helped eliminate tax evasion, the government had last month collected Rs. 1 crore extra tax, he said.

He said the focus of the Aam Aadmi Party government's budget is good intention and corruption free administration. He said, for education ten thousand 690 crore rupees, for health Rs. 5,259 crore and for transport Rs 1735 crore has been earmarked.

Sisodia said two thousand new buses would be added to the existing fleet of the DTC and Clusters services.

The minister said Mohalla security forces would be set up in every Vidhan Sabha to bring more secure environment.

The Deputy Chief Minister said GDP of Delhi has registered an increase of 13 percent and per capita income is estimated to go up by 11 percent from Rs. 2 lakh 52 thousand to Rs. 2 lakh 80 thousand.

He said a provision of Rs 6,919 crore have been made in the budget for municipal corporations of Delhi.

This amount is nearly one thousand crore rupees, higher than last year's allocation. The government has earmarked 10 crore rupees for Aam Aadmi Canteen to provide cheaper and hygienic food to poor's.