Government raises windfall tax on petroleum crude

The government has raised its windfall tax on petroleum crude to Rs 9,600 ($114.99) a metric ton from Rs 6,800 with effect from April 16, the government said on Monday.

The tax, which is revised every fortnight, will remain unchanged at zero for diesel and aviation turbine fuel.

The government had on April 4 raised windfall tax on petroleum crude to 6,800 rupees a metric ton from 4,900 rupees.

India started the tax on crude oil producers and on exports of gasoline, diesel and aviation fuel in July 2022 to regulate private refiners who wanted to sell fuel overseas instead of locally in a bid to gain from robust refining margins.