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GST and Excise Duty leviable on Tobacco and Tobacco-derived Products: Karnataka High Court

In a significant ruling, the Karnataka high court has ruled that the Union government is entitled to levy Central GST (CGST) as well as excise duty on tobacco and tobacco-derived products. Dismissing a bunch of petitions by tobacco manufacturers against the levy of both GST and excise duty on the subject goods, the Court held that “The levy of excise duty on tobacco and tobacco products is a matter of public policy and this court in exercise of writ jurisdiction would not interfere with the same. The CGST itself contemplates levy of excise duty upon tobacco and tobacco products apart from they being taxed under the provisions of CGST,”

Source Taxscan

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