GST on Tobacco - as per new notification

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Wholesaler seeks clarity on GST changes for raw tobacco under Notification 19/2025. Key points include revised invoicing from 1 Feb 2026 (RSP-based valuation, GST rates, HSN, possible excise disclosure) and whether excise registration is required.

Chirag H. Thakkar

Chirag H. Thakkar (Querist)
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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?

Aashok Kumar Sharma

Aashok Kumar Sharma (Expert)
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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.

Chirag H. Thakkar

Chirag H. Thakkar (Querist)
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09 January 2026 Whether have to apply for Excise registration?

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