Higher excise, health cess to kick in on tobacco products, pan masala from February 1
January 31, 2026
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New taxes on cigarettes, tobacco, and pan masala begin February 1. This marks a major tax change for these products. Excise duties and a health and security cess are introduced. GST rates are adjusted, and a new MRP-based valuation system for tobacco products aims to curb evasion. Steeper duties and tighter compliance measures are now in effect.