The State Government of Haryana exempted Value Added Tax (VAT) on Wheat that is given to the beneficiaries of Antyodaya Anna Yojana (AAY) under Public Distribution System (PDS) on 13 February 2013. It’s expected that this exemption would tune up about 1.50 crore Rupees in a year.
The State Government of Haryana was offering a subsidy benefit of 6.35 crore rupees on wheat to the beneficiaries of Antyodaya Anna Yojana. The State Government also offered a VAT free distribution of Kerosene under Public Distribution System. The decision of exempting wheat from VAT for the Beneficiaries of Antyodaya Anna Yojana was taken in conformation of the directions provided by the Union Government of India that is 2 Rupees per Kilogram.