New Delhi, Dec. 3 -- The Lok Sabha on Wednesday passed the Central Excise (Amendment) Bill, 2025 to ensure that tax incidence on tobacco and related products is no lesser than what was maintained through GST compensation cess on them.

The Lower House passed the key Money Bill with voice vote.

The GST compensation cess on tobacco and tobacco related products would come to an end in a few weeks after the back-to-back loans taken by the central government to compensate states for revenue shortage during Covid pandemic are repaid completely. The Central Excise (Amendment) Bill, 2025 seeks to replace compensation cess with higher excise duties on tobacco products.

Replying to the discussion on the Central Excise (Amendment) Bill, 2025 in Lo...