India revises windfall tax rates for petrol, diesel and ATF exports

On Tuesday, India raised windfall taxes on petrol and diesel exports, while decreasing the jet fuel tax. Current export duties reflect the volatility in crude oil prices, with government estimates of significant revenue collection from these levies.

The government has raised the windfall tax on petrol and diesel exports while reducing the levy on aviation fuel. The revised rates are effective from September 1, with the special excise duty on diesel exports increasing by ₹1 and a decrease of ₹0.50 for ATF exports.

New Delhi, Sep 1: The government on Tuesday hiked windfall gains tax on export of petrol and diesel, and reduced it marginally on ATF for the next fortnight.The rate of special additional excise duty (SAED) along with road and infrastructure cess on export of diesel now stands at Rs 25 per litre, up from Rs 24 a litre. SAED on export of aviation turbine fuel (ATF) has been set at Rs 19 per litre, compared to Rs 19.5 per litre earlier.Ujjivan SFB CEO Sanjeev Nautiyal Retires Early, Carol Furtado Takes Interim ChargeThe duty on petrol exports has been hiked to Rs 1.5 per litre effective September 1, up from zero earlier.The Finance Ministry in a notification said the duty hikes will be effective from September 1.Changes in export dutiesAmid escalating tensions in West Asia, the Government imposed an export duty on diesel and ATF on March 27 and revised the rate every fortnight. Beginning May 16, the levy was imposed on petrol exports.The ministry also said that there is no change in the existing duty rates on petrol and diesel cleared for domestic consumption.Also Watch: Purpose of windfall taxThe windfall tax was levied to increase domestic availability of the fuel amid the war in West Asia.It was also aimed at preventing exporters from taking undue advantage due to price differences as global crude oil prices had increased since the war began.The windfall tax was intended to ensure domestic availability of petroleum products by disincentivising exports amid the West Asia crisis.(Except for the headline, this article has not been edited by FPJ's editorial team and is auto-generated from an agency feed.)