Govt hikes windfall tax on diesel & ATF export

New Delhi: The government on Saturday hiked the windfall profit tax on the export of diesel to Rs 12 per litre and that on jet fuel exports to Rs 3.50 a litre with effect from October 16.

The levy on domestically produced crude oil too has been increased by Rs 3,000 per tonne to Rs 11,000.

After lowering the tax rates for two consecutive fortnights mirroring fall in global crude prices, the finance ministry has brought about a hike in export taxes on crude, diesel and Aviation Turbine Fuel (ATF), in its latest review.

At the seventh fortnightly review, the government raised the windfall profit tax on the export of diesel to Rs 12 per litre from Rs 6.5 a litre, and brought back the levy on ATF (Aviation Turbine Fuel) exports at Rs 3.50 per litre, from nil, finance ministry said in a notification.

While private refiners Reliance Industries Ltd and Rosneft-based Nayara Energy are the principal exporters of fuels like diesel and Aviation Turbine Fuel, the windfall levy on domestic crude targets producers like state-owned Oil and Natural Gas Corporation (ONGC) and

Vedanta Ltd.