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Taxation Central Ministry of Finance Central Excise Act, 1944

Chewing Tobacco, Jarda Scented Tobacco and Gutkha Packing Machines (Capacity Determination and Collection of Duty) Rules, 2026

31-Dec-2025 | 05/2025-Central Excise (N.T.)

Ministry of Finance has issued the Chewing Tobacco, Jarda Scented Tobacco and Gutkha Packing Machines (Capacity Determination and Collection of Duty) Rules, 2026, effective 1st February, 2026.

Key Highlights of the Rules:

1. These rules apply to chewing tobacco (Tariff item 2403 99 10, includes filter khaini), Jarda scented tobacco (Tariff item 2403 99 30) and Gutkha (Tariff item 2403 99 90) when manufactured using packing machines and packed in pouches.

2. Excise duty will be levied based on the number of packing machines and their maximum rated speed. Monthly deemed production per machine is specified in the Table under Rule 5, varying by:
Retail sale price per pouch (up to Rs. 2 or exceeding Rs. 2)
Machine speed category (up to 500 pouches/min, 501–1000, 1001–1500, or 1501 and above).
3. Manufacturers must file FORM CE DEC-01 by 7th February 2026 or within 7 days of commencing production.
4. Technical details (gearbox ratio, number of tracks, RPM) must be certified by a Chartered Engineer in FORM CE CCE-01.
5. Monthly duty payable by the 6th day of the same month.
6. Statement in FORM CE PMT-01 to be filed by the 10th day of the month.
7. Provisions for pro-rata duty, abatement for non-operation (15+ days), and interest on delayed payment included.
8. Retail sale price must be declared on all packages; failure may lead to confiscation and penalty.



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