Windfall tax slashed on crude oil

New Delhi, May 2

The government has cut the windfall tax on petroleum crude to Rs 4,100 per tonne from Rs 6,400 per tonne, effective from Tuesday, according to a government notification.

The government left the windfall tax on petrol, diesel and aviation turbine fuel at zero. On April 4, the government cut the windfall tax on petroleum crude to zero from Rs 3,500 per tonne previously. The levy on crude was hiked to Rs 6,400 per tonne on April 19.

The government had in last July imposed the windfall tax on crude oil producers and extended the levy on exports of gasoline, diesel and aviation fuel after private refiners wanted to make gains from robust refining margins in overseas markets, instead of selling at home. — Reuters