VAT hike will not affect common man, says Delhi CM
New Delhi: In a bid to address the concerns arising out of her recent announcement on steep hike in the value-added tax on several items, Delhi Chief Minister Sheila Dikshit has said that it will affect only those going for luxury goods and not the common man.
Dikshit said VAT on luxury items including high-end cellphones, watches and pens will be increased substantially in March when the budget for Delhi for 2010-11 fiscal will be presented, a move triggered by fund shortage due to huge spending on infrastructure projects for Commonwealth Games.
"I do not know what all mobiles are there above 20 lakh, or 15 lakh or 10 lakh. I would not like to touch the person who buys them for Rs 2,000 or Rs 4,000.
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