Summary: The Ministry of Finance (Department of Revenue) has issued Notification No. 47/2026-Central Excise dated 1 September 2026 to further amend Notification No. 08/2026-Central Excise dated 26 March 2026, which prescribes the effective Special Additional Excise Duty (SAED) applicable to Aviation Turbine Fuel (ATF) cleared for export outside India. Exercising powers under Section 5A of the Central Excise Act, 1944 read with Section 147 of the Finance Act, 2002, the Central Government has substituted the rate appearing against serial number 1 in column (4) of the Table in the principal notification with “Rs. 19 per litre”. Immediately before this amendment, Notification No. 44/2026-Central Excise dated 14 August 2026 had prescribed a rate of Rs. 19.5 per litre with effect from 15 August 2026. Accordingly, the latest notification reduces the applicable ATF export SAED by Rs. 0.50 per litre, or approximately 2.56%, from the immediately preceding rate. The revised rate takes effect from 1 September 2026, being the date of publication of Notification No. 47/2026-Central Excise in the Official Gazette.
Analysis of the ATF Export SAED Revision
Notification No. 47/2026-Central Excise does not create a new levy or alter the scope of goods covered by the principal notification. Its operative effect is limited to substituting the existing effective SAED rate applicable to Aviation Turbine Fuel covered by serial number 1 of the Table to Notification No. 08/2026-Central Excise.
The principal notification was issued on 26 March 2026 and prescribed an effective SAED rate of Rs. 29.5 per litre on ATF falling under heading 2710 of the Fourth Schedule to the Central Excise Act, 1944 when cleared for export. The mechanism operates by exempting ATF from so much of the SAED leviable under Section 147 read with the Eighth Schedule to the Finance Act, 2002 as exceeds the rate specified in column (4) of the notification.
The rate has since been revised several times during FY 2026-27. Notification No. 37/2026-Central Excise dated 30 June 2026 reduced the rate to Rs. 7.5 per litre from 1 July 2026. Thereafter, Notification No. 39/2026-Central Excise dated 15 July 2026 increased it to Rs. 14.5 per litre from 16 July 2026. Notification No. 41/2026-Central Excise dated 3 August 2026 further increased the rate to Rs. 22 per litre, followed by Notification No. 44/2026-Central Excise dated 14 August 2026, which reduced it to Rs. 19.5 per litre from 15 August 2026.
The latest revision to Rs. 19 per litre therefore represents a relatively modest reduction of Rs. 0.50 per litre from the immediately preceding rate. Compared with the original rate of Rs. 29.5 per litre prescribed on 26 March 2026, however, the current rate is lower by Rs. 10.5 per litre, representing an overall reduction of approximately 35.59%.
For exporters of ATF, the immediate commercial consequence is a reduction in the SAED burden by Rs. 0.50 for every litre exported from the effective date. For illustration, an export quantity of 10 lakh litres would result in an SAED reduction of Rs. 5 lakh compared with the rate applicable immediately before 1 September 2026. The actual financial impact for an exporter will therefore depend directly on the volume of ATF exported after the revised rate becomes effective.
ATF Export SAED Rate History in 2026
| Notification | Date | SAED Rate on ATF | Effective From | Change from Previous Rate |
|---|---|---|---|---|
| Notification No. 08/2026-Central Excise | 26 March 2026 | Rs. 29.5 per litre | 26 March 2026 | Base rate |
| Notification No. 37/2026-Central Excise | 30 June 2026 | Rs. 7.5 per litre | 1 July 2026 | Reduced by Rs. 22 |
| Notification No. 39/2026-Central Excise | 15 July 2026 | Rs. 14.5 per litre | 16 July 2026 | Increased by Rs. 7 |
| Notification No. 41/2026-Central Excise | 3 August 2026 | Rs. 22 per litre | 3 August 2026 | Increased by Rs. 7.5 |
| Notification No. 44/2026-Central Excise | 14 August 2026 | Rs. 19.5 per litre | 15 August 2026 | Reduced by Rs. 2.5 |
| Notification No. 47/2026-Central Excise | 1 September 2026 | Rs. 19 per litre | 1 September 2026 | Reduced by Rs. 0.5 |
MINISTRY OF FINANCE
(Department of Revenue)
Notification No. 47/2026-Central Excise | Dated: 1st September, 2026
G.S.R.769(E).— In exercise of the powers conferred by Section 5A of the Central Excise Act, 1944 (1 of 1944) read with Section 147 of Finance Act, 2002 (20 of 2002), the Central Government, being satisfied that it is necessary in the public interest so to do, hereby makes the following further amendments in the notification of the Government of India in the Ministry of Finance (Department of Revenue), No. 08/2026-Central Excise, dated the 26th March, 2026, published in the Gazette of India, Extraordinary, Part II, Section 3, Sub-section (i), vide number G.S.R. 207 (E), dated the 26th March, 2026, namely:-
In the said notification, in the Table, against serial number 1, in column (4), for the entry, the entry “Rs. 19 per litre” shall be substituted.
2. This notification shall come into force on the date of its publication in the Official Gazette.
[F. No. 190349/13/2026-TRU]
DHEERAJ SHARMA, Under Secy.
Note.- The principal notification No. 08/2026-Central Excise, dated the 26th March, 2026 was published in the Gazette of India, Extraordinary, Part II, Section 3, Sub-section (i), vide number G.S.R. 207 (E), dated the 26th March, 2026 and last amended by notification No. 44/2026-Central Excise dated 14th August, 2026 published in the Gazette of India, Extraordinary, Part II, Section 3, Sub-section (i), vide number G.S.R. 734 (E), dated 14th August, 2026.
