UP exempts low cost bicyclefrom VAT

The Samajwadi Party government in Uttar Pradesh has decided to exempt low cost bicycles from Value Added Tax (VAT).

Interestingly, bicycle is the party symbol of ruling SP. The VAT exemption would be applicable to bicycles costing less than Rs 3,500.

In a press communiqué here today, UP chief minister Akhilesh Yadav said a large section of population in UP and in the country used bicycles as a mode of transport, which was the cheapest vehicle for farmers, workers, youth, students and the poor.

He noted it was used both by common man in both the rural and urban areas and it was imperative to boost their economic development.

Bicycle was also environment friendly, while cycling kept a person healthy, he said.