The government announced a decrease in the windfall tax on crude petroleum and jet fuel by ₹1,300 per tonne, effective from December 1, as per notification.
The tax on crude petroleum has been reduced from ₹6,300/tonne to ₹5,000/tonne, while the levy on jet fuel has been adjusted to ₹1.06 lakh per kilo litre (kL) from the previous ₹1.11 lakh/kL.
During the previous review on November 16, the government slashed the windfall tax on crude petroleum by ₹3,500 from ₹9,800 per tonne to ₹6,300 per tonne. This was in line with the downward trend in global oil prices.
Before this, on November 1, the government raised the tax on crude oil from ₹9,050 per tonne to ₹9,800 per tonne. Subsequently, the duty on diesel exports was reduced by half to ₹2/litre, while the levy on jet fuel was eliminated, bringing it down from Re 1/litre to nil.
Due to a decline in international oil prices since the last adjustment, there has been a necessity for a reduction.
For Official Notification Click Here