The All India Trade Union Congress (AITUC) on Thursday demanded reduction in value added tax (VAT) on fuel consumed by State Transport Corporations for operating their fleet.
In a statement here, it said the VAT should be reduced on a par with the levy on aviation turbine (AT) fuel.
Pointing out that the VAT on AT fuel had been reduced to 1%, the union also demanded exemption from motor vehicle tax and toll collected by National Highways Authority of India.
Welcoming announcements such as setting up of commercial complexes, modernisation of 16 depots, installation of solar power generation units, operation of electric vehicles, AITUC urged the State government to consider the demand to curb illegal operation of services eating into the revenue of STCs.
It also wanted operation of mini-bus services by private parties to areas devoid of proper roads, fulfilment of long-pending demands of STC employees such as pension and health insurance and other monetary requirements of the serving and retired employees.
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