On the recommendations of the GST Council, the Central Government has issued Notification No. 19/2025–Central Tax (Rate) dated 31st December, 2025, amending Notification No. 9/2025–Central Tax (Rate) dated 17th September, 2025, under the provisions of the Central Goods and Services Tax Act, 2017.
Key Highlights
Inclusion of Biris under Schedule II: Biris falling under tariff headings 2403 19 21 and 2403 19 29 have been inserted under Schedule II – 9%.
Revision of Schedule III: The following goods have been included under Schedule III – 20%, after serial number 13:
- Pan masala (2106 90 20)
- Unmanufactured tobacco; tobacco refuse (2401)
- Cigars, cheroots, cigarillos and cigarettes (2402)
- Other manufactured tobacco and tobacco substitutes excluding biris (2403)
- Products containing tobacco or reconstituted tobacco for inhalation without combustion (2404 11 00)
- Products containing tobacco or nicotine substitutes for inhalation without combustion (2404 19 00)
Omission of Schedule VII: Schedule VII – 14%, along with all entries related thereto, has been omitted.
Effective Date: The notification shall come into force from 1st February, 2026.
Purpose of the Amendment
The amendments aim to rationalise the GST rate structure on tobacco and tobacco-related products, ensure clarity in classification, and align the tax framework with public policy objectives.
Note: Similar notification has been brought under the UTGST Act, 2017 vide No. 19/2025-Union Territory Tax (Rate) dated December 31, 2025 and under the IGST Act, 2017 vide No. 19/2025-Integrated Tax (Rate) dated December 31, 2025.
The Notifications can be accessed at: https://a2ztaxcorp.net/wp-content/uploads/2025/12/CBIC-No.-19-2025-Central-Tax-Rate.pdf
