Govt imposes windfall tax on oil producers, raises import duty on gold

To curb gold imports, govt hikes customs duty on the metal to 15% from 10.75%

The Centre on Friday slapped a windfall tax on domestic crude oil producers, imposed export duties on petrol, diesel and aviation turbine fuel (ATF), and hiked the import duty on gold in efforts to reduce pressure on the rupee, rein in the current account deficit (CAD), and increase the domestic supply of petroleum products.

Domestic producers sell crude oil to domestic refineries at international parity prices, thus making windfall gains.

The government also imposed special additional excise duties of Rs 6 and Rs 13 per litre on the export of petrol and diesel, respectively, following a shortage of the fuel