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In the state, 29% VAT is imposed on petrol, an additional VAT of Rs 2.50 is charged, and 1% cess is taken on each litre of petrol. Similarly, 19% of VAT is imposed on diesel with an additional VAT of Rs 1.50 and 1% of cess on each litre. Consequently, as the prices of fuel are increasing, the state government are making profits.