Foreigners visiting Goa will now get refund of the Value added tax (VAT) on the goods they purchase in the state. 

Chief Minister Manohar Parrikar, in a budget presented today, announced this scheme which aims at encouraging shopping by foreign tourists in the coastal state. 

"The VAT will be refunded at the Goa airport against valid invoices to be produced by the foreign tourists on their departure. Invoices should have been issued during the period the tourist is living in the state," he said. 

The scheme will be introduced from September 2013, the beginning of the next tourist season. 

To encourage aircraft arrivals, the budget also proposed refund VAT on the air turbine fuel (ATF). 

The state had last year reduced VAT on ATF from 22 per cent to 12.5 per cent. 

"To encourage more airline carrier arrivals, I intend to formulate a scheme for refund of VAT on the ATF, subject to minimum VAT of 0.5 per cent...," the Chief Minister said. (PTI)