Govt's excise collection jumps 48% in Apr-July; already 3 times of full fiscal oil bond liability

Bulk of excise duty collection is from levy on petrol and diesel and with sales picking up with a rebounding economy, the incremental collections in the current year may be over ₹1 lakh crore

The government's collections from levy of excise duty on petroleum products have jumped 48% in the first four months of the current fiscal year, with the incremental mop-up being 3-times of the repayment liability of legacy oil bonds in the full fiscal, official data showed. Data available from the Controller General of Accounts in the Union Ministry of Finance showed excise duty collections during April-July 2021 surging to over ₹1 lakh crore, from ₹67,895 crore mop-up in the same period of the previous fiscal. After the introduction of the Goods and Services Tax (GST) regime, excise duty is levied only on petrol, diesel, ATF and natural gas. Barring these products, all other goods and services are under the GST regime.