India to withdraw windfall tax if oil prices fall $40 a barrel

The government will review the windfall tax levied on domestically produced crude every two weeks based on exchange rates, international prices and the local cost of crude, government officials said.

Revenue secretary Tarun Bajaj said the Centre has not fixed any price level at which the tax will be withdrawn, dismissing reports that it will do so if prices decline $40 per barrel from the current levels. Brent crude is at about $113 a barrel.