Govt. cuts windfall tax on export of petrol, diesel and ATF
The Indian government reduced the windfall tax on exports of petrol, diesel and aviation turbine fuel with immediate effect. The tax cuts were announced through a government order on September 16, 2026.
- ✓The Indian government reduced the windfall tax on exports of petrol, diesel and aviation turbine fuel with immediate effect.
- ✓Under the revised rates, the export duty on diesel has been reduced to ₹20 per litre, down from ₹25 per litre.
- ✓The tax cuts were announced through a government order on September 16, 2026.
The Union Government issued an order on Wednesday, September 16, 2026, lowering the windfall duties applied to the export of petroleum products, including petrol, diesel and aviation turbine fuel (ATF). The decision was taken by the central authorities overseeing fiscal and energy policy.
Under the revised rates, the export duty on diesel has been reduced to ₹20 per litre, down from ₹25 per litre. The levy on petrol exports is now ₹0.5 per litre, a decrease from the previous ₹1.5 per litre, while the duty on ATF has been set at ₹15 per litre, lowered from ₹19 per litre. These changes take effect immediately for all export transactions.
The tax adjustments aim to make Indian fuel exports more competitive amid global price fluctuations, while balancing domestic revenue considerations. Exporters of petroleum products are expected to benefit from lower costs, potentially boosting export volumes. The move also reflects the government's effort to fine‑tune fiscal measures in the energy sector.
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| Issuing Authority | The Hindu National |
|---|---|
| Topic Category | INDIA |
| Jurisdiction | All India / National |
| Publication Date | 16 September 2026 |