The government will introduce two bills in the Lok Sabha on Monday (December 1, 2025) to levy excise duty on tobacco and tobacco products, and a new cess on manufacturing of pan masala.

The Central Excise Amendment Bill, 2025, will replace the GST compensation Cess, which is currently levied on all tobacco products like cigarette, chewing tobacco, cigars, hookahs, zarda, and scented tobacco.

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