The Finance Ministry is currently assessing a proposal from the Petroleum Ministry to incorporate natural gas into the Goods and Services Tax (GST) framework. This proposal aims to simplify the country's tax structure, according to sources familiar with the matter.

Tarun Kapoor, an advisor to Prime Minister Narendra Modi, suggested that the Finance Ministry is contemplating the removal of the windfall tax on domestic crude production. Reports indicate that the government may soon eliminate this tax, following recommendations from the Petroleum Ministry, which highlighted a continued decline in oil prices and the decreasing relevance of the tax.

The ministry is also considering the possibility of implementing a windfall tax on oil and gas companies. An official announcement from the Finance Ministry is expected in the near future.