The amendment deletes an existing regulation and makes a corresponding change in the Second Schedule. This clarifies which compliance provisions continue to apply to service providers.
The FAQs clarify how excise duty on chewing tobacco, jarda, and gutkha will be levied based on packing machine capacity rather than actual production. Manufacturers must comply with strict declaration, verification, and payment rules from 1 February 2026.
New monthly excise duty rates link retail sale price and packing machine speed for chewing tobacco, jarda and gutkha to strengthen capacity-based taxation.
The notification supersedes earlier exemptions and caps excise duty at revised rates for a wide range of tobacco products, effective 1 February 2026.
The notification removes ambiguity by substituting pan masala containing tobacco with gutkha for excise assessment.
New rules tax chewing tobacco, gutkha and jarda by packing-machine capacity and RSP, mandating declarations, CCTV and upfront duty payment
Chewing tobacco, jarda and gutkha packed by machines are notified for excise duty under a special valuation mechanism in public interest.
Excise amendment notified effective 1 Feb 2026, enforcing revised duty rates and classifications for tobacco and nicotine products.
New GST rules mandate valuation of specified goods on declared retail sale price, simplifying assessment while tightening compliance from February 2026.
The notification mandates GST valuation based on declared retail sale price for specified pan masala and tobacco products from February 2026.
