GST on Tobacco - as per new notification
This query is : Resolved
Quick Summary
Chirag H. Thakkar
(Querist)
05 January 2026
I am a wholesaler of Raw Tobacco. What is the implication of the new notification no. 19/2025 dated 31/12/2025.
how to raise an invoice and how to show the excise?? Weather I have to apply for excise registration?
how to raise an invoice and how to show the excise?? Weather I have to apply for excise registration?
09 January 2026
1. How to Raise Invoices After 01-02-2026
For supplies made on/after 1 February 2026:
Invoice must show:
Taxable value (based on RSP if Rule 31D applies)
GST rate (e.g., 20% on raw tobacco)
GST amount under CGST + SGST (or IGST if interstate)
If applicable, additional excise duty (separately shown if collected)
HSN code for tobacco product correctly classified
Reference to applicable notification rates
2. Before 1 Feb 2026
Continue invoicing at old GST structure.
From 1 Feb 2026
Update billing system to new GST rate schedule.
If applying RSP-based valuation, revise invoice price build-up accordingly.
Ensure accurate HSN classification for raw tobacco vs other tobacco products.
Check whether additional excise duties/cess apply to the goods you handle.
Maintain clear records of notification citations and valuation methodology for audit.
For supplies made on/after 1 February 2026:
Invoice must show:
Taxable value (based on RSP if Rule 31D applies)
GST rate (e.g., 20% on raw tobacco)
GST amount under CGST + SGST (or IGST if interstate)
If applicable, additional excise duty (separately shown if collected)
HSN code for tobacco product correctly classified
Reference to applicable notification rates
2. Before 1 Feb 2026
Continue invoicing at old GST structure.
From 1 Feb 2026
Update billing system to new GST rate schedule.
If applying RSP-based valuation, revise invoice price build-up accordingly.
Ensure accurate HSN classification for raw tobacco vs other tobacco products.
Check whether additional excise duties/cess apply to the goods you handle.
Maintain clear records of notification citations and valuation methodology for audit.
Chirag H. Thakkar
(Querist)
09 January 2026
Whether have to apply for Excise registration?
03 November 2026
For wholesale transactions of raw tobacco effective 1 February 2026, ensure invoices reflect RSP-based taxable values where applicable, correct HSN classifications, applicable GST rates (e.g., 20%), and separately disclosed additional duties if mandated, while confirming that trading raw tobacco alone does not mandate Central Excise registration.
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