The government on Saturday raised the windfall tax on domestically-produced crude oil to Rs 11,000 from Rs 8,000/tonne, and the levy on export of diesel to Rs 12 from Rs 5 per litre, citing a rise in global crude prices in the last fortnight. The revised taxes will be effective from Sunday. It also reintroduced a levy of Rs 3.5/litre on export of jet fuel, at the seventh fortnightly review of the one-off taxes on oil companies.
The taxes were introduced on July 1, as the government felt that the elevated crude prices were allowing oil companies to make windfall profits, and that the exchequer must get a share of such gains.
