Jaipur (Rajasthan), November 16 (ANI): Rajasthan Chief Minister Ashok Gehlot on Tuesday announced that that the state cabinet has decided to reduce the value-added tax (VAT) on petrol and diesel prices by Rs 4 and Rs 5 respectively.

The new prices would be effective from midnight.

Also Read | Petrol Prices Cut by Rs 5, Diesel by Rs 4 Per Litre in Rajasthan After Ashok Gehlot Govt Reduces VAT on Fuel in State.

"In the Cabinet meeting today, it was unanimously decided to reduce the rate of VAT on petrol/diesel. From 12 o'clock tonight, the rates will be reduced by Rs 4 per litre for petrol and Rs 5 per litre for diesel," Gehlot said in a tweet.

"Due to this, the state government will incur a loss of Rs 3,500 crore in annual revenue," he added.

Also Read | CBI Raids 77 Locations, Detains 10 for Posting, Circulating Online Child Sexual Abuse Material.

The Centre had announced a reduction of central excise duty on petrol and diesel by Rs 5 and Rs 10 respectively on the eve of Diwali and had urged the states "to commensurately reduce" VAT on the two petroleum products to give relief to consumers. (ANI)

(The above story is verified and authored by ANI staff, ANI is South Asia's leading multimedia news agency with over 100 bureaus in India, South Asia and across the globe. ANI brings the latest news on Politics and Current Affairs in India & around the World, Sports, Health, Fitness, Entertainment, & News. The views appearing in the above post do not reflect the opinions of LatestLY)