Source : INDIA TODAY NEWS
The government has raised the windfall tax on petrol exports to Rs 2.5 per litre from Rs 0.5 per litre, while cutting the duty on diesel exports to Rs 8.5 per litre from Rs 16 per litre, according to a government order issued late Thursday.
The revised duties will take effect from October 16, the order said.
The increase in petrol export duty and reduction in diesel duty come as the government continues to adjust taxes on fuel exports in response to changes in international crude oil and petroleum product prices.
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Under the revised rates, the duty on petrol exports has been increased fivefold, while the duty on diesel exports has been reduced by Rs 7.5 per litre.
India first introduced windfall taxes on fuel exports in July 2022, when elevated international energy prices created the potential for refiners to earn higher margins by selling petroleum products overseas.
The government withdrew the taxes two years later but reintroduced them in March 2026 after crude oil prices surged during the US-Israeli war on Iran.
Windfall taxes and export duties allow the government to adjust the tax burden on fuel shipments abroad as global prices change.
The duties are reviewed every fortnight and revised in line with movements in international crude oil and petroleum product prices.
The latest changes apply to export duties on petrol and diesel. The government order did not provide a separate explanation for raising the petrol duty while lowering the diesel duty.
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SOURCE :- TIMES OF INDIA
