There was a news that on July 2 2017 itself a person was held for selling tobacco products in Telangana, to the best of my knowledge the said ban still exists till date.
Regards
As we know there was ban extended on tobacco related products for one year in Telangana from January 10th 2016 under Notification No.500/F SS-1/2016. So is this continuing still as it crossed one year on January 10th 2017. Please update me with current status.
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There was a news that on July 2 2017 itself a person was held for selling tobacco products in Telangana, to the best of my knowledge the said ban still exists till date.
Regards
Thanks for the update, If that is the case, how SGST (14%)/ CGST (14%) still exists officially for tobacco related products in telangana. Is it possible that Central Government can allow new GST license for selling tobacco related products in telangana?
Is it possible that Central Government can still allow new GST license for selling tobacco related products in telangana?
The Telangana government has extended the ban on Gutkha and pan masala across the state by another year.
sgst 14 % still showing officially in Telangana till date , it's not just proposed as you told previously. More over central government granted license for selling tobacco in Telangana officially. So in this case , how can we say it is banned as license granted and Telangana state government is earning money with tax paid under these cheering tobacco related products Note : gutka , khaini etc are not taxed officially in Telangana under sgst/ cgst , so is it means chewing zarda related is not banned in Telangana as it is taxed officially ?
New Delhi: The finance ministry has removed additional excise duty on tobacco, pan masala and cigarettes with effect from July 1, following the GST implementation.
The revenue department also "rescind" the central excise notification dated February 27, 2010, which deals with excise duty rate on unmanufactured tobacco and chewing tobacco.
The GST Constitutional (Amendment) Act permits the Centre to levy excise duty on six items including tobacco and tobacco products. The other items are petroleum crude, diesel, petrol, natural gas and ATF.
Following the rollout of Goods and Services Tax (GST) from July 1, the central excise notifications for tobacco, pan masala and cigarettes had to be brought in line with the new indirect tax regime.
Under the GST, a cess is levied on demerit and luxury goods over and above the peak GST rate of 28 per cent. The cess on pan masala has been decided at 60 per cent, while in tobacco the levy will vary from 71-204 per cent.
Also scented zarda and filter khaini attracts 160 per cent cess, for pan masala containing gutkha it would be 204 per cent. Filter and non-filter cigarettes not exceeding 65 mm attract a cess of 5 per cent plus Rs 1,591 per 1,000 sticks.
My question is simple which is still not answered . Zarda is taxed in official Telangana and also got license for selling it Telangana , so how is this called as banned in Telangana as it is clashing with many things said above
SC has banned the sale of all forms of chewable tobacco and nicotine, and directed authorities, including the Food Safety and Standards Authority of India (FSSAI), to strictly enforce its directions.
2) it is banned in Teangana too under the Food Safety and Standards (Prohibition and Restrictions on Sales) Regulations, 2011,
3) on account of ban zarda which is form of chewable tobacco cannot be sold in telengana state
4) you cannot sell zarda officially in Telengagna even if earlier you had been granted licence for sale of the product
Please try to understand that GST license issued by government of India recently not previous one. How come the central accepts with license and Telangana government allows tax under chewing Zarda products still . really confusing.
You are making it difficult for yourself. try and understand in this way:
Tobacco is a state subject- State has imposed a restriction on selling and purchasing
GST License has been issued by the central government, but the same is of no use until and unless the ban is removed by the State Government. The GST License will stay in abeyance till then