scorecardresearchGovernment raises windfall tax on crude, diesel, aviation fuel

Government raises windfall tax on crude, diesel, aviation fuel

Updated: 03 Jan 2023, 10:37 AM IST
TL;DR.
  • It raised the windfall tax on crude oil to 2,100 rupees ($25.38) per tonne from 1,700 rupees ($20.55), effective on Tuesday.
India, the world's largest consumer and importer of oil, has been buying Russian crude barrels at well below a $60 price cap agreed by the West.

India, the world's largest consumer and importer of oil, has been buying Russian crude barrels at well below a $60 price cap agreed by the West.

(Reuters) - India has raised its windfall tax on petroleum, crude oil and aviation turbine fuel, according to a government order dated Jan. 2.

It raised the windfall tax on crude oil to 2,100 rupees ($25.38) per tonne from 1,700 rupees ($20.55), effective on Tuesday, the order said.

The federal government also raised export tax on diesel to 6.50 rupees per litre from 5 rupees, while raising the windfall tax on ATF to 4.5 rupees per litre from 1.5 rupees, the document showed.

India, the world's largest consumer and importer of oil, has been buying Russian crude barrels at well below a $60 price cap agreed by the West.

The country in July imposed the windfall tax on crude oil producers and levies on exports of gasoline, diesel and aviation fuel after private refiners sought overseas markets to gain from robust refining margins, instead of selling at lower-than-market rates in the country.

 

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First Published: 03 Jan 2023, 10:37 AM IST