GOVERNMENT OF INDIA
MINISTRY OF FINANCE
DEPARTMENT OF REVENUE
*****
LOK SABHA
UNSTARRED QUESTION NO.2799
TO BE ANSWERED ON MONDAY THE 21ST MARCH, 2022
PHALGUNA 30, 1943 (SAKA)
TAX ON TOBACCO PRODUCTS
2799. SHRIMATI RANJANBEN DHANANJAY BHATT:
Will the Minister of FINANCE be pleased to state:
(a) whether the Government is contemplating to impose tax on tobacco products;
(b) if so, whether any steps have been taken by the Government in this regard;
(c) if so, the details thereof; and
(d) if not, the reasons therefor?
ANSWER
MINISTER OF STATE IN THE MINISTRY OF FINANCE
(SHRI PANKAJ CHAUDHARY)
(a), (b) and (c): Tobacco products such as bidi, cigarettes, chewing tobacco, gutkha, etc. already attract GST at the highest rate of 28%, and a compensation cess up to 290% on ad valorem basis along with specific rate, on certain products like cigarettes, up to Rs. 4170 per thousand. In addition, Tobacco products also attract Excise Duty and National Calamity and Contingency Duty.
(d): Does not arise in view of (a), (b) and (c) above.
