ALSO READGovt. looks for timely implementation as GST Council clears State, Union Territory GST Council may revise some GST rates in June 11 meeting Reduced Tax Liabilities under GST regime in comparison to present combined Indirect Tax rates Enforce hallmarking with implementation of GST: World Gold Council Foodgrains, common-use products to get cheaper as GST Council decides service tax rate
"In first 15 days of GST implementation, it was noted that the 28 per cent tax rate plus compensation cess on cigarettes when translated, the impact of cascading effect had not adequately factored in, resulting in windfall gain for the cigarette companies," Finance Minister Arun Jaitley said here after the council meet.
Now the tax rate on cigarette remains at 28 per cent, the ad valorem at 5 per cent with the numerical amount on each category of filtered and non-filtered cigarettes being raised to Rs 2,076 per 1,000 units, Rs 2,747 per 1,000 and Rs 3,668 per 1,000 of different categories of cigarettes.
For other cigarettes the ad valorem has been increased to 36 per cent plus Rs 4,170 per 1,000 units.
(This story has not been edited by Business Standard staff and is auto-generated from a syndicated feed.)