Government reduces excise, service tax by two per cent

New Delhi, Feb 24 (ANI): The government, on Tuesday declared a reduction of two per cent in the excise duty and service tax to decrease pressure on the nation's industrial sector in times of economic meltdown.

While the general excise duty has been reduced from ten percent to eight percent, the rate of service tax cut is from twelve percent to ten percent.

External Affairs Minister Pranab Mukherjee, who is also acting as the stand-in Finance Minister concluded the discussion on the Interim Budget in Lok Sabha on Tuesday by saying that the four percent excise cut announced earlier in the stimulus package in December will continue beyond March 31.

Mukherjee further said that duty on bulk cement has been reduced from 10 percent to 8 percent.

The Lok Sabha later gave its assent to the Interim Budget by a voice vote.

However, the main opposition Bharatiya Janata Party and other Left parties remains unsatisfied. (ANI)