The Centre has increased the windfall gains tax on exports of diesel and aviation turbine fuel (ATF) while keeping the levy on petrol unchanged for the fortnight beginning June 16.
According to a notification issued by the Finance Ministry on Monday, the revised rates will come into effect from June 16, reported NDTV. The move comes as the government continues to monitor fuel supplies and global crude oil price movements amid ongoing tensions in the Middle East.
Export duty on diesel and ATF increased
The rate of special additional excise duty (SAED) on diesel exports has been raised to Rs 14 per litre from the existing Rs 13.5 per litre.
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Similarly, the SAED on aviation turbine fuel exports has been increased to Rs 12.5 per litre from Rs 9.5 per litre.
However, there has been no change in the export duty on petrol, which remains at Rs 1.5 per litre.
Duty on Diesel and ATF exports increased | The rate of duty will be Rs 14 per litre on exports of diesel and Rs 12.5 per litre on exports of ATF. There is no change in the rate of duty on exports of petrol.
— ANI (@ANI) June 15, 2026
There is no change in the existing excise duty rates on petrol and… pic.twitter.com/SwONmjSxP6
No change for domestic fuel supplies
The government has also left unchanged the existing duty rates on petrol and diesel meant for domestic consumption.
This means the latest revision applies only to exports of select petroleum products and does not affect fuel cleared for use within the country.
Measure linked to Middle East tensions
The government had first imposed export duties on diesel and ATF on March 26 following escalating tensions in the Middle East. The move came after the US-Israel attack on Iran and the subsequent retaliation that raised concerns over energy markets and fuel supplies.
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Since then, the export duty rates have been reviewed every fortnight. On May 16, the government also imposed an export duty on petrol.
Aim is to ensure domestic availability
The windfall tax is intended to prevent exporters from benefiting excessively from the difference between domestic and international fuel prices during periods of global volatility.
With crude oil prices rising amid the conflict, the government has sought to discourage excessive exports and ensure adequate domestic availability of petroleum products. The tax mechanism is designed to help maintain local fuel supplies while global energy markets remain under pressure.
FAQs:
What changes has the government made to the windfall tax?
The government has increased the windfall gains tax on diesel exports to Rs 14 per litre from Rs 13.5 per litre and on ATF exports to Rs 12.5 per litre from Rs 9.5 per litre.
Has the export duty on petrol changed?
No. The export duty on petrol remains unchanged at Rs 1.5 per litre, and there is also no change in duty rates for petrol and diesel meant for domestic consumption.
