Govt hikes windfall tax on crude oil to Rs 6,000 per tonne from Rs 3,250

The Indian government has raised the windfall tax on petroleum crude to 6,000 rupees ($71.91) per metric ton from 3,250 rupees, with effect from July 2, according to a notification issued on Monday.

The Indian government has raised the windfall tax on petroleum crude to 6,000 rupees per metric ton from 3,250 rupees, with effect from July 2, according to a notification issued on Monday. The Special Additional Excise Duty (SAED) on the export of diesel, petrol, and ATF is to continue at nil.

Earlier on June 15, the government has reduced windfall tax on domestically-produced crude oil to Rs 3,250 per tonne from Rs 5,200. The tax is levied in the form of Special Additional Excise Duty (SAED).

India first imposed windfall profit taxes on July 1, 2022, joining a host of nations that tax supernormal profits of energy companies. The tax rates are reviewed every fortnight based on average oil prices in the previous two weeks.