India hikes windfall tax on petroleum crude, diesel
Follow us Now on Telegram ! Get daily 10 - 12 important updates on Business, Finance and Investment. Join our Telegram Channel
https://t.me/InvestmentGuruIndiacom
Download Telegram App before Joining the Channel
The Indian government is increasing the windfall tax on petroleum crude to 3,300 rupees ($39.76) a metric ton from 3,200 rupees with effect from Feb. 16, according to a notification released on Thursday.
It will also increase a windfall tax on diesel, that had been reduced to zero, to 1.50 rupees a litre, the order showed.
The windfall tax on aviation turbine fuel (ATF) and petrol will continue to be zero.
On Feb. 3, India had raised windfall tax on petroleum crude to 3,200 rupees/tonne from 1,700 rupees a tonne, while keeping the tax on diesel, ATF and petrol at zero.
From July 2022, India imposed a windfall tax on crude oil producers, and extended the levy on exports of gasoline, diesel and aviation fuel as private refiners wanted to sell fuel overseas to make gains from robust refining margins instead of selling locally. The government revises the tax fortnightly.
($1 = 82.9970 Indian rupees)
