(ET)
Consultations between finance, petroleum and other ministries are carried out on an ongoing basis to inform successive reviews of the windfall tax, the oil ministry said in a statement. The government had imposed a windfall tax, or special additional excise duty (SAED), of ₹23,250 per tonne on locally-produced crude oil on July 1 and has since reviewed the quantum every fortnight. The current windfall tax on crude is ₹10,500 per tonne. “From time to time, the government has received representations and requests for clarifications in respect of modalities of levy, rates, determination of liability, etc.
These necessitate consultations as well as exchange of information between different ministries of government including the ministry of finance and ministry of petroleum and natural gas,” the oil ministry said, dismissing a report that it had asked the finance ministry for a review. “Such consultations are an on-going process and are used to inform successive reviews.”
