Govt Slashes Windfall Tax On Petrol, Diesel | Check New Rates Here

The Union government on Friday slashed the windfall tax on domestically produced crude oil and diesel effective December 16, 2022

The new tax rates are effective from December 16.

The government, in an official order on Thursday, slashed the windfall profit tax on domestically-produced crude oil as well as on the export of diesel and aviation turbine fuel (ATF) effective from Friday. The order was issued following a drop in global oil prices.The official order said that the tax on crude oil produced by companies such as Oil and Natural Gas Corporation (ONGC) has been cut sharply to Rs 1,700 per tonne from Rs 4,900. The new tax rates are effective from December 16.

The union government has reduced the tax on the export of diesel by Rs 3. It is now reduced to Rs 5 from Rs 8. Meanwhile, the tax on overseas shipments of ATF has been reduced to Rs 1.5 a litre from Rs 5.

The reduction in tax rate is in the wake of a 14 per cent slump in global crude oil prices since November.

India first imposed windfall profit taxes on July 1. At that time, export duties of Rs 6 per litre (USD 12 per barrel) each were levied on petrol and ATF and Rs 13 a litre (USD 26 a barrel) on diesel. Read More On..