Tax Hiked Again on Fuel Exports

Amid continued volatility in global crude oil prices, the central government has once again increased the Special Additional Excise Duty (Windfall Tax) on exports of petrol, diesel, and Aviation Turbine Fuel (ATF). The revised rates, effective from August 3, raise the diesel export duty from ₹15.5 to ₹25.5 per litre, while petrol export duty has been increased from ₹2.5 to ₹3.5 per litre. The tax on ATF has also been raised from ₹14.5 to ₹22 per litre.

The decision comes in response to fluctuations in crude oil prices due to tensions in West Asia, which have boosted profits for fuel exporters. The government aims to ensure better domestic availability and curb excessive exports. Earlier on July 16, the Centre had revised the tax structure by increasing duties on diesel and ATF while reducing the levy on petrol.