Coronavirus pandemic is hounding the country with thousands of citizens already infected and hundreds of deaths so far. There is a nationwide lockdown enforced to stop further transmission of the virus in the country. Haryana too has sealed its borders and allowed only essential services to continue as per the central government directive. Today, ML Khattar led NDA government made the decision to hike the VAT on petrol and diesel. The government decided to hike the VAT on fuels in the wake of the economic crisis caused by the Coronavirus. The decision was taken at the cabinet meeting to increase the coffers as the shutdown is having an impact on the state revenue.
The Haryana Cabinet today increased VAT rate by Re 1 per litre for petrol and Rs 1.1 per litre for diesel. The rate of tax will be back to the pre-October 4, 2018 rate with 25 per cent on petrol and 16.4 per cent on diesel. The fixed rate of tax per litre may be increased from Rs 8.15 per litre to Rs 9.20 per litre in case of diesel while it will be from Rs 14.25 per litre to Rs 15.20 per litre in case of petrol.
The Haryana government is increasing bus fares for ordinary, luxury and super-luxury buses from 85 paise per passenger per km to Rs 1 per passenger per km. This is done to keep up with the increased cost of buses operation from Rs 37.48 per km in June 2016 to Rs 52.23 per km in December 2019. The Haryana Roadways has around 4,294 buses in the fleet and operate around 10.38 lakh km on a daily basis. Currently, public transport is suspended as part of the nationwide restriction with the borders also sealed off.
Also, in other news, the cabinet imposed a ban on the purchase of new vehicles, including cars and jeeps during the current financial year. Buses for public transport and vehicles used for emergency responses are exempted from the decision.
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