Drastic cut in windfall gain tax on crude produced in the country, tax reduced on diesel exports as well

Earlier on November 16, windfall tax on domestically produced crude oil was increased while the government reduced the tax on export of diesel.

Drastic cut in windfall gains tax

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produced in the country today by the government Crude oil And has announced a huge reduction in the windfall gain tax on the export of diesel. According to the government, the new rates will be applicable from Friday. According to an order issued today, the tax on crude oil produced in the country has been reduced from Rs 10,200 per tonne to Rs 4,900 per tonne. At the same time, the tax on export of diesel has been reduced from Rs 9 per liter to Rs 6.50 per litre. Earlier on November 16, windfall profit tax on domestically produced crude oil was increased while tax on export of diesel was reduced.

Countries around the world imposed windfall tax

Due to the sharp rise in the prices of crude oil, many countries of the world are imposing tax on the high profit made by the oil companies. In fact, due to difficult economic conditions, the coffers of the governments are getting empty and for this reason the governments are imposing windfall tax. On the very day of the last review of this tax in India, the British government had increased the windfall profit tax on the profits of oil and natural gas companies. The UK government had said that from January 2024 to March 2028, windfall profit tax would be increased from 25 percent to 35 percent. Apart from this, electricity producers will have to pay a new temporary fee of 45 percent.

What is windfall tax