Notification No. 19/2025 - Integrated Tax (Rate)

Want to File ITR, GST Returns & Pvt. Ltd. Registration

Notification No. 19/2025 - Integrated Tax (Rate): Seeks to amend Notification 09/2025- Integrated Tax (Rate), to prescribe GST rates on tobacco products.

[TO BE PUBLISHED IN THE GAZETTE OF INDIA, EXTRAORDINARY, PART II, SECTION 3, SUB-SECTION (i)]

G.S.R (E).- In exercise of the powers conferred by sub-section (1) of section 5 of the Integrated Goods and Services Tax Act, 2017 (13 of 2017) and sub-section (5) of section 15 of the Central Goods and Services Tax Act, 2017(12 of 2017), the Central Government, on the recommendations of the Council, hereby makes the following amendments in the notification of the Government of India, Ministry of Finance (Department of Revenue), No. 9/2025- Integrated Tax (Rate), published in the Gazette of India, Extraordinary, Part II, Section 3, Sub-section (i), vide number G.S.R. 642(E), dated the 17^th September, 2025, namely:-

In the said notification, -

in the Schedule II – 18%, after S. No. 4 and the entries relating thereto, the following serial number and entries shall be inserted, namely: -

“4A.

2403 19 21, 2403 19 29

Biris;”

in the Schedule III – 40%, after S. No. 13 and the entries relating thereto, the following serial number and entries shall be inserted, namely: -

“14.	2106 90 20	Pan masala;
15.	2401	Unmanufactured tobacco; tobacco refuse [other than tobacco leaves];
16.	2402	Cigars, cheroots, cigarillos and cigarettes, of tobacco or of tobacco substitutes;
17.	2403 (other than 2403 19 21, 2403 19 29)	Other manufactured tobacco and manufactured tobacco substitutes; homogenised or reconstituted tobacco; tobacco extracts and essences [other than biris];
18.	2404 11 00	Products containing tobacco or reconstituted tobacco and intended for inhalation without combustion;

19.

2404 19 00

Products containing tobacco or nicotine substitutes and intended for inhalation without combustion;”

the Schedule VII – 28%, and the entries relating thereto shall be omitted.

2. This notification shall come into force on the 1^st day of February, 2026.

[F. No. CBIC-190349/73/2025-TRU]
(Dheeraj Sharma) Under Secretary

Note: The principal notification No. 9/2025- Integrated Tax (Rate), dated the 17^th September, 2025, was published in the Gazette of India, Extraordinary, Part II, Section 3, Sub-section (i), vide number G.S.R. 642(E), dated the 17^th September, 2025.

📚 Frequently Asked Questions (FAQs): Notification No. 19/2025 - Integrated Tax (Rate)

Q1: What is Notification No. 19/2025 – Integrated Tax (Rate)?

Answer:
It is a GST notification that revises IGST rates on tobacco and related products, amending Notification No. 09/2025 – Integrated Tax (Rate). The revised rates apply from 1 February 2026 19-2025-ITR-Eng-corri.

Q2: From which date are the new IGST rates applicable?

Answer:
The revised IGST rates apply from 1 February 2026, regardless of invoice date if supply occurs on or after this date.

Q3: Which products are taxed at 18% IGST under this notification?

Answer:
Only Biris (HSN 2403 19 21 / 2403 19 29) are taxed at 18% IGST.

Q4: What products are now taxed at 40% IGST?

Answer:
The following products attract 40% IGST:
Pan masala
Cigarettes, cigars & cigarillos
Unmanufactured tobacco
Tobacco substitutes
Nicotine / vape inhalation products

Q5: Why was the 28% IGST slab removed?

Answer:
The Schedule VII – 28% has been completely omitted to simplify GST rate structure and shift tobacco products to higher deterrent tax slabs.

Q6: Does this notification apply only to interstate supplies?

Answer:
Yes. This notification applies only to IGST, i.e., interstate supplies and imports. Intrastate supplies are governed by CGST + SGST notifications.

Q7: How does Section 15(5) of CGST Act apply here?

Answer:
Section 15(5) allows the government to notify specific goods for special valuation or rate treatment, enabling differentiated GST rates for tobacco products.

Q8: Will this impact importers of tobacco products?

Answer:
Yes. Importers must pay IGST at revised rates at the time of customs clearance.
Ensure proper classification and GST compliance with Finodha GST Compliance.
👉 https://finodha.in/gst-compliance/

Q9: How should businesses update GST returns?

Answer:
Businesses must:
Update tax rates in billing software
Report revised IGST in GSTR-1 & GSTR-3B
👉 Start filing correctly with Finodha GST Return Filing
https://finodha.in/gst-return-filing/

Q10: Will existing stock be taxed at old rates?

Answer:
No. GST is based on time of supply, not purchase date. Supplies made after 1 Feb 2026 attract new IGST rates.

Q11: Are e-cigarettes and vaping products covered?

Answer:
Yes. Products under HSN 2404, including nicotine inhalation products, attract 40% IGST.

Q12: Does this affect GST registration requirements?

Answer:
Higher GST rates increase compliance risk. Businesses near threshold should review registration status.
👉 Apply via Finodha GST Registration
https://finodha.in/online-gst-registration/

Q13: What penalties apply for charging wrong GST rate?

Answer:
Incorrect rate application may attract:
Interest under Section 50
Penalty under Section 73/74
Avoid errors with Finodha GST Expert Support.

Q14: How does this impact pricing for consumers?

Answer:
Higher IGST increases landed cost, leading to higher retail prices, discouraging consumption.

Q15: Who should take immediate action?

Answer:
Tobacco manufacturers
Importers
Interstate wholesalers
Distributors & traders
👉 Set up or restructure your business with Finodha Setup Business Services
https://finodha.in/setup-business/