Business

Government Increases Windfall Tax On Crude Petroleum

The government has raised the windfall tax on domestically produced crude oil to Rs 3,200 per tonne from Rs 1,700 per tonne with effect from Saturday.

The tax is imposed in the form of a Special Additional Excise Duty (SAED).

As per an official announcement, the SAED on the export of diesel, petrol, and jet fuel, or ATF, has been maintained at nil.

The revised rates are effective from February 3, 2024.

India introduced windfall profit taxes on July 1, 2022, joining many other countries that tax energy businesses’s above-average profits.

Every two weeks, the tax rates are reviewed depending on the previous two week’s average oil prices.

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Spriha Rai

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