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India to Examine Tax Exemption to Reliance Refinery
July, 12th 2008

India's government plans to examine the possibility to withdraw a tax exemption given to Reliance Petroleum Ltd.'s refinery in the western state of Gujarat, the Economic Times said, citing government officials it didn't name.

The decision for the review came after a meeting between Commerce Minister Kamal Nath and Amar Singh, a leader of the Samajwadi Party, the newspaper said today. The Samajwadi Party, whose support is necessary for India's federal ruling coalition to survive, wants the exemption pulled, the newspaper reported.

India's parliament will convene July 21 and 22 to decide the fate of Prime Minister Manmohan Singh's government, which this week lost the support of Communist allies over a nuclear energy agreement with the U.S.

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