VAT on essential commodities stayed for now: Minister

Kolhapur, Oct 2 (UNI) Maharashtra Finance Minister Jayant Patil today informed that imposition of Value Added Tax on essential commodities has been stayed till further orders in the state.

Talking to reporters at Kagal in this district, Mr Patil said it was earlier proposed to impose VAT on essential commodities like gur and pulses from yesterday.

However, it has been decided to exempt essential commodities from VAT for the time being and a government notification in this regard will be issued soon, the Minister said. The state Government will study the matter further and also take cognisance of the decision by other states in this regard before arriving at its own decision, he said.

Meanwhile, Mr Patil said that the plan, submitted by the Kolhapur Municipal Corporation (KMC) of a Rs 492 crore drinking water project and waste water management and drainage system implementation, will be placed before the Union Government for approval. The state Government will bear 10 per cent of the project cost as per the plan, he said.

To a question, the Minister said there would be no problem in creation of special economic zones in the state in view of the strong opposition to hand over agriculture land. There are large tracts of barren land in Maharashtra which could be developed for the purpose, he added.

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