gst on tobacco Smokey Affair: cigarettes, products may be raised GST 2.0 tussle: Centre eyes
GST 2.0 tussle: Centre eyes extra duty over 40% slab on tobacco products; states push for 'significant' cut The Times of India Centre imposes extra excise duty on tobacco products, cess on pan masala to take effect February 1 India Today Glad to see this proposal on tobacco taxation in GST 2.0. A 40% peak GST rate along with an additional excise duty is exactly what we've been advocating for some time, and The government may soon raise GST on cigarettes and tobacco products as the current compensation cess ends in March 2026. Officials aim to sustain tax revenue without a new cess. Currently taxed New GST Rates: 40% on Luxury Goods & Tobacco; Insurance Policies Exempted Budget 2026 tightens the screws on tobacco. Higher GST, a steep jump in NCCD, and a shift to retail pricelinked excise mean higher prices and rising pressure on margins. With total tax incidence
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