Chandigarh Cuts VAT on Natural Gas to 5%

The Chandigarh Administration has reduced the Value Added Tax (VAT) on natural gas from 12.5% to 5%, effective from midnight of September 18, 2026.

This decision aims to provide tax relief to consumers using Compressed Natural Gas (CNG) and Piped Natural Gas (PNG) in the Union Territory of Chandigarh.

The reduction in VAT is expected to make natural gas more affordable in Chandigarh and promote the development and expansion of natural gas infrastructure in the city.