Govt cuts windfall tax on petroleum crude

The Indian government on Friday slashed the windfall tax on petroleum crude to Rs 5,200 ($62.33) per metric ton from Rs 5,700, with effect from June 1.

he tax, which is revised every fortnight, remains unchanged for diesel and aviation turbine fuel.

On May 16, the Indian government had reduced the windfall tax on petroleum to Rs 5,700 per metric ton from Rs 8,400.

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