ONGC, Oil India Ltd to gain as Govt cuts windfall tax on crude oil

New Delhi: The Government has reduced the windfall tax on petroleum crude to Rs 3,250 per metric tonne from Rs 5,200 with effect from June 15 as prices of crude oil have declined in the international market compared to the previous fortnight.

Upstream oil exploration and production companies ONGC and Oil India Ltd will benefit from the announcement as they have to pay the windfall tax on their crude oil output.

The tax is revised every fortnight based on the average crude price of the preceding fortnight.

In the earlier fortnight beginning June 1, the government had reduced the windfall tax on crude to Rs 5,200 per metric tonne from Rs 5,700.

The windfall tax on crude was as high as Rs 8,400 in the first fortnight of May as part of its fortnightly revision that is calibrated with global prices.

This is the second fortnightly cut in windfall tax in a row after a Rs 8,400 per metric tonne reduction from Rs 9,600 on May 1.

From July 2022, India started taxing crude oil production and exports of gasoline, diesel and aviation fuel to regulate private refiners which wanted to sell fuel overseas instead of locally to gain from robust refining margins.

The government had on April 16 raised the windfall tax on petroleum crude to Rs 9,600 a metric ton from Rs 6,800 because of the high crude oil prices at the time due to escalating geopolitical tensions. Crude prices had risen by 16 per cent in the first quarter of 2024 but have trended downward since then.

The windfall tax was also extended to exports of petrol, diesel and aviation fuel after private refineries started raking in big gains from overseas markets, instead of selling the fuels in the domestic market.

The government has left the windfall tax on these fuels unchanged in the current round.

IANS

 

India’s defence exports record over 30-fold quantum leap in last 10 years

New Delhi: India’s defence exports have recorded a 30-fold quantum leap over the last 10 years from a mere Rs 686 crore in the financial year 2013-14 to a record...

Direct tax collections surge 19.5 pc to Rs 5.74 lakh crore in 2024-25 so far

New Delhi: The country’s nets direct tax collection posted a robust 19.5 per cent growth to Rs 5.74 lakh as on till July 11 of the current financial year (2024-25)...

Ola CEO calls for 70 hours work week, doctor warns of diseases, premature death risk

New Delhi: After Ola CEO Bhavish Aggarwal backed Infosys founder Narayana Murthy's 70-hour work-week advice, a top neurologist on Friday warned that it could increase the risk of several serious...

New jobs created in Indian economy in 2014-23 jump over 4-fold compared to 2004-14: SBI study

New Delhi: As many as 12.5 crore jobs have been created in the Indian economy during the financial years 2014-23, which represents an over four-fold jump from the 2.9 crore...

Top-notch Saudi-Indian company launches its new website in Saudi Arabia

RIYADH: After months of hard work and dedication, Big City Solutions Company for Business Services is pleased to announce its new website (www.bigcitysolution.com) with the primary goal of creating a...

Adani Group’s Vizhinjam Port receives first mothership, puts India in world league

Thiruvananthapuram: Adani Group's Vizhinjam Port, India's first trans-shipment port near Kovalam Beach in Kerala, received its first mothership on Thursday. 'San Fernando', a vessel of the world’s second-largest shipping company...

Shiprocket integrates Snowflake’s AI Data Cloud to empower 1.5 lakh Indian merchants

New Delhi: Data cloud company Snowflake, on Wednesday, announced that e-commerce enablement platform Shiprocket has successfully deployed its artificial intelligence (AI) Data Cloud, which will empower 1.5 lakh Indian merchants...

Sensex trades lower amid selling in banking stocks

Mumbai: Indian equity indices opened in red on Wednesday following pressure in banking stocks. At 9:55 a.m., Sensex was down 228 points or 0.28 per cent, at 80,123 and Nifty...

Number of new jobs more than doubles to 46.6 million in 2023-24: RBI data

New Delhi: As many as 46.6 million new jobs were created in the Indian economy during 2023-24, according to the latest data released by the Reserve Bank of India. The...

Xiaomi aims to source 55 pc phone components in India, showcases 1st luxury EV

Bengaluru: Smartphone company Xiaomi on Tuesday said it aims to source at least 55 per cent of its components locally in India, which aligns with the government's 'Make in India'...

EV adoption could save $10 bn, create millions of jobs by 2030: Amitabh Kant

New Delhi: Highlighting the need to create a new overarching strategy for road transport that can boost transition to Electric Vehicles (EV), G20 Sherpa and former NITI Aayog CEO, Amitabh...

India’s Financial Inclusion Index improves to 64.2 in 2023-24

Mumbai: India’s Financial Inclusion Index (FI-Index) for the financial year ended March 31, 2024, has improved to 64.2 vis-a-vis 60.1 in March 2023, with growth witnessed across all sub-indices, the...

Read Previous

Will keep working together to further global good, says PM Modi after meeting US President Biden

Read Next

Can’t wait for OpenAI to have access to my phone: Musk

Leave a Reply

Your email address will not be published.

WP2Social Auto Publish Powered By : XYZScripts.com