NEW DELHI: Delhi recorded a 79 per cent loss in diesel and 59 per cent loss in petrol sale in May, due to the increased Value Added Tax (VAT) on the fuels, said Delhi Petrol Dealers Association (DPDA). According to DPDA, the decision to increase VAT, although taken with a good intention to increase revenue, is proving to be counterproductive as the city is losing both sales and revenue.
The state VAT rates on petrol and diesel were increased to the highest slab of 30 per cent on May 5. Consequently, a massive rate difference of around Rs 7 per litre has occurred between Delhi and its neighbouring states. As per data, on Thursday, the diesel price per litre in national capital is Rs 69.39. While it is Rs 62.68 (-6.71) , Uttar Pradesh Rs 63.45 (-5.94), Punjab Rs 63.30 (-6.09) and Uttrakhand Rs 63.71 (-5.68).
