Friday, July 28, 2017

increase of gst cess on cigarettes


  • Cascading of taxes [that is in earlier regime VAT being charged on value inclusive of the excise duty]. As a result, the total tax incidence on cigarettes in GST regime had come down, as compared to the total tax in pre-GST regime.
  • Demerit goods - Cigarettes
  • GST Council in its meeting on 17.07.2017 reviewed the Compensation Cess rates on cigarettes and recommended the increase in same with effect from 00 hours on 18th July, 2017
  • Compensation Rates increased by 30-40% w.e.f 18.07.2017

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