This notification announces a change in Compensation Cess rates for several specified goods. Effective from 22nd September 2025, the Compensation Cess rate for these items will be reduced to 'Nil'. This amendment is made based on the recommendations of the Council and exercises powers under the Goods and Services Tax (Compensation to States) Act, 2017.
GOVERNMENT OF INDIA MINISTRY OF FINANCE(Department of Revenue)
Notification No. 02/2025-Compensation Cess (Rate)
New Delhi, the 17th September, 2025
G.S.R....(E).-In exercise of the powers conferred by sub-section (2) of section 8 of the Goods and Services Tax (Compensation to States) Act, 2017 (15 of 2017), the Central Government, on the recommendations of the Council, hereby makes the following further amendments in the notification of the Government of India, in the Ministry of Finance (D
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1 Year PLAN
1999
(Excl. of GST ₹359)
2 Years PLAN
3499
(Excl. of GST ₹629)
BEST VALUE
3 Years PLAN
4999
(Excl. of GST ₹899)
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FAQ :
The main change is the substitution of existing Compensation Cess rates with 'Nil' for several specified goods.
This notification comes into force on the 22nd day of September, 2025.
The notification specifies changes for items listed against S. No. 2, 3, 4, 4A, 4B, 39, 40, 41, 42, 47, 48, 50, 51, 52, 52A, 52B, 53, 54, and 55 in the SCHEDULE of the principal notification.
The new Compensation Cess rate for the specified goods will be 'Nil'.
This notification is issued under the powers conferred by sub-section (2) of section 8 of the Goods and Services Tax (Compensation to States) Act, 2017.
Source : https://taxinformation.cbic.gov.in/view-pdf/1010449/ENG/Notifications