The government has increased the windfall tax on petroleum crude to ₹7,100 per tonne from ₹4,250 per tonne with effect from tomorrow, 15 August according to a government notification.
In the last fortnightly review, windfall tax on domestically produced crude oil was set at ₹4,250 per tonne. Besides, the Special Additional Excise Duty (SAED) or duty on export of diesel will be hiked to ₹5.50 per litre from Re 1 per litre at present.
Windfall tax on diesel has been hiked to 5.50 rupees per litre from 1 rupee per litre, while the levy on aviation turbine fuel has been raised to 2 rupees per litre from nil earlier, the notification said.
The windfall tax on petrol will remain nil. SAED on petrol will continue to be zero. India first imposed windfall profit taxes on July 1, 2022.
Government imposed the windfall tax on crude oil producers in July last year and extended the levy on exports of gasoline, diesel and aviation fuel after private refiners wanted to make gains from robust refining margins in overseas markets, instead of selling at home.
*With inputs from agencies
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