India Lowers Windfall Tax on Domestic Crude Oil Sales and Diesel Exports
The revised tax rates, effective from November 16, come as global crude oil prices have been easing amid concerns of lower global demand and potential US interest-rate hikes.
- India's union finance ministry has lowered the windfall tax on domestic crude oil sales from ₹9,800 a tonne to ₹6,300 a tonne, and on diesel exports from ₹2 to Re 1 per litre.
- The revised tax rates came into effect from Thursday, November 16, 2023.
- The windfall tax on petrol and aviation turbine fuel (ATF) remains unchanged at zero.
- The windfall tax is reviewed every fortnight, based on average oil prices over the previous two weeks.
- The Indian government first imposed a windfall tax on the sale of locally produced crude on July 1, 2022, as oil exploration and production companies made huge profits after crude-oil prices hit multi-year highs following Russia’s invasion of Ukraine.
Reuters 
