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Increased VAT on 120 items
January, 14th 2010

The increased Value Added Tax (VAT) on 120 items, including food, will come into force from tomorrow in the national capital. 

Delhi Government today issued a notification to enforce the new VAT rate.

Last month, Delhi Assembly had passed a Bill seeking to hike the VAT on certain items, which is expected to fetch the government an additional revenue of Rs 500 crore annually.

The amendment was introduced to raise VAT on over 120 items from current four per cent to five cent on these items to partially compensate the loss incurred due to phasing out of Central Sales Tax.

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