The State Cabinet’s decision on Thursday to increase Value Added Tax (VAT) by 1 per cent is an unwanted gift in the New Year for the State’s people, said Samajwadi Party (SP).
Party State president Rabi Behera said that the increase of VAT would adversely affect the common man due to further price rise. He said the decision of the Government must be opposed. By increasing the VAT, the Government hopes to collect Rs 280 crore from the market as it is facing a shortfall of revenue, he added.
“If the Government is facing crisis then how the DA of the salaried section and pensioners has been increased twice at the rate of 6 per cent,” he asked. The decision should be revoked, Behera added.