With global oil prices ebbing, the Centre on Wednesday slashed the windfall tax levied on crude petroleum producers, reduced the export tax on Aviation Turbine Fuel (ATF) and diesel and scrapped the duty on petrol exports.
On July 1, the government had levied fresh taxes on the export of petrol, fuel and ATF as well as the domestic sale of crude oil in view of runaway global prices, with a plan to review the taxation levels every fortnight.
In the first such review, notified on Wednesday, the cess of ₹23,250 per tonne on petroleum crude has been lowered to ₹17,000 per tonne. This cess was aimed at reining in windfall profits for domestic oil producers who sell their output at international parity prices even to domestic refineries.
