Windfall tax on petroleum crude cut to Rs 3,250 per MT from Rs 5,200

The Indian government has cut the windfall tax on petroleum crude to Rs 3,250 ($38.90) per metric tonne from Rs 5,200, effective June 15, according to a notification issued on Friday.

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

India on June 1 cut the windfall tax on petroleum crude to Rs 5,200 per metric tonne from Rs 5,700.

From July 2022, India started taxing crude oil production and exports of gasoline, diesel and aviation fuel to regulate private refiners which wanted to sell fuel overseas instead of locally to gain from robust refining margins.