New Delhi, Dec. 2 -- The Central Excise (Amendment) Bill, 2025, aimed at replacing the existing GST compensation cess on tobacco products and revising excise duties, is slated for passage in the Lok Sabha on Tuesday. Introduced on December 1, the bill seeks to amend the Central Excise Act, 1944, which governs the levy of excise duties on goods manufactured in India.
Since the rollout of the Goods and Services Tax (GST) in 2017, many central excise duties were repealed except on select items like tobacco and tobacco products. To compensate states for revenue losses due to GST, a GST compensation cess was also levied on tobacco products, resulting in these items being subject to GST, compensation cess, and central excise duty concurrently. T...