Mah Govt to reduce Sales Tax on fuel

Mumbai, Jun 5 (UNI) Paying heed to the political parties demand for reduction in Sales Tax on hiked fuel prices, the Maharashtra government tonight decided to reduce the Sales Tax on petrol and diesel by two per cent and on LPG by four per cent.

A decision to this effect was taken at a hurriedly convened Cabinet meeting, which was held a day after the Central Government announced rise in fuel prices.

The Union Government had announced to raise the prices of petrol by five per litre, diesel by three per litre and LPG by Rs 50 per cylinder.

With the reduction of four per cent tax in LPG, the state exchequer will have to bear the loss of Rs 150 crore, while him two per cent tax reduction in petrol and diesel prices, the government will have to bear the burden of Rs 630 crore. This relief will be implemented from midnight tomorrow (June 6-7).

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