NEW DELHI :
CONGRESS-ruled Punjab has seen the biggest reduction in price of petrol in the country after it cut local sales tax or VAT the most while Union Territory of Ladakh witnessed the largest reduction in diesel rates for the same reason. Post the Union Government’s decision of reducing excise duty on petrol by Rs 5 per litre and that on diesel by Rs 10 a litre, 25 States and UTs have cut VAT to give further reprieve to consumers battered by record-high retail prices. Petrol price has been further reduced by as much as Rs 16.02 per litre and diesel by Rs 19.61 a litre as a result of combined impact of the excise duty and VAT cut, according to price charts available from State-owned fuel retailers.
Poll-bound Punjab has seen the most cut in petrol price of Rs 16.02 a litre, followed by UT of Ladakh with Rs 13.43 a litre and Karnataka (Rs 13.35). The VAT reduction in Punjab is Rs 11.27 per litre on petrol while in Uttar Pradesh, which will go to polls early next year to elect a new Government in the State, the reduction is Rs 6.96. Gujarat has seen Rs 6.82 a litre reduction in VAT while Odisha has cut sales tax by Rs 4.55 and by Rs 3.21 in Bihar.