The federal government on Saturday hiked the windfall revenue tax on the export of diesel to Rs 12 per litre and that on jet gas exports to Rs 3.50 a litre with impact from October 16.
The levy on domestically produced crude oil too has been elevated by Rs 3,000 per tonne to Rs 11,000.
After reducing the tax charges for 2 consecutive fortnights mirroring fall in world crude costs, the finance ministry has caused a hike in export taxes on crude, diesel and ATF, in its newest assessment.
On the seventh fortnightly assessment, the federal government raised the windfall revenue tax on the export of diesel to Rs 12 per litre from Rs 5 a litre, and introduced again the levy on ATF (Aviation Turbine Gasoline) exports at Rs 3.50 per litre, from nil, finance ministry stated in a notification.
Whereas personal refiners Reliance Industries Ltd and Rosneft-based Nayara Vitality are the principal exporters of fuels like diesel and ATF, the windfall levy on home crude targets producers like state-owned Oil and Pure Fuel Company (ONGC) and Vedanta Ltd.
India first imposed windfall revenue taxes on July 1, becoming a member of a rising variety of nations that tax tremendous regular income of vitality corporations. However worldwide oil costs have cooled since then, eroding the revenue margins of each oil producers and refiners.