Government Slaps Export Tax On Petrol, Diesel

The government on Friday slapped a Rs 6 per litre tax on exports of petrol and ATF and Rs 13 per litre on exports of diesel.

The government also slapped a Rs 23,230 per tonne additional tax on domestically produced crude oil to take away windfall gains accruing to producers from high international oil prices, a separate government notification showed.

The tax on exports follows oil refiners, particularly the private sector, reaping huge gains from exporting fuel to markets such as Europe and the US.
The tax on domestically produced crude oil follows local producers reaping windfall gains from the surge in international oil prices.

Stocks of oil production companies like ONGC and Oil India dropped by 5 to 6%. Shares in Reliance Industries too fell sharply by almost 6% in trade.

With inputs from PTI