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The Rajasthan government on Tuesday decided to reduce the value added tax on petrol by Rs 4 and diesel by Rs 5. The new prices will be effective from midnight on Tuesday, Chief Minister Ashok Gehlot said in a tweet.

The chief minister added that the decision would result in an annual loss of Rs 3,500 crore in revenues for the state government.

Earlier this month, the Centre had slashed excise duty on petrol by Rs 5 and diesel by Rs 10 per litre. The new prices came to effect on November 4.

Several states, most of them ruled by the Bharatiya Janata Party, had followed suit and further reduced their value added tax on fuel.

The move came as fuel prices made records. Petrol and diesel prices have remained steady for the last 13 days since the Centre cut excise duty on them.

The price of petrol in Delhi was Rs 103.97 per litre and that of diesel was Rs 86.67 per litre. Petrol costs Rs 109.98 in…

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