In a bid to give relief to the people at a time of escalating sugar prices, Gujarat government today decided to exempt imported sugar from value added tax (VAT), officials said.
"Gujarat chief minister Narendra Modi has decided to exempt imported sugar from VAT," they said.
The state government used to charge four per cent VAT on sugar. But this will not be charged on imported sugar for the next one year, they said.
The decision has been taken keeping in mind the prevailing scarcity of sugar due to lower production, they said.
This will help those who want to import sugar and people at large in the coming festival season, they further said.
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