New Delhi, Jan. 1 -- The government has imposed a fresh and comprehensive excise duty framework on cigarettes and other tobacco products, signalling a decisive tightening of its taxation and regulatory stance on the sector. Industry reacted with dismay, saying it was "shocked and surprised" at the move.
A series of Central Excise notifications issued on Thursday here revise duty rates, clarify product classification and strengthen compliance norms, significantly increasing the tax burden on tobacco manufacturers.
Under the revised structures, cigarettes will attract a specific excise duty ranging from Rs 2,050-8,500 per 1000 sticks, depending on their length and characteristics. Shorter cigarettes fall in lower duty slabs, while longer ci...