Shares of Reliance Industries Ltd (RIL), witnessed a sharp fall after the export tax hike announcement. RIL shares plunged more than 7%, its biggest decline in about 18 months, The sharp drop can be attributed to the government levying additional tax on domestically produced crude oil to take away windfall gains, according to experts. “Reliance is witnessing a sharp fall after the Government has levied taxes on windfall gains made by domestic refineries. The government on Friday announced an increase in taxes on the export of petrol, diesel, and aviation turbine fuel (ATF). The centre has also mandated exporters to meet the requirements of the domestic market first. The government has levied a ₹6 per litre tax on exports of petrol and ATF and ₹13 per litre on exports of diesel.
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