New Delhi, Dec 4: Finance Minister Nirmala Sitharaman on Thursday told the Lok Sabha that the proposed Health and National Security Cess will not apply to essential commodities. Introducing the Health Security se National Security Cess Bill, 2025, she said the levy targets pan masala manufacturers based on production capacity.
“By levying the cess, we expect that it would act as a deterrent for pan masala consumption,” Sitharaman directly said. She added that part of the revenue “will be shared with states through health awareness or other health-related schemes.”
Pan masala will continue to draw the highest GST slab of 40 percent, with the cess added separately on production capacity.
Earlier in the day, Opposition MPs staged a protest in the Parliament complex over severe air pollution in Delhi. Several lawmakers wore masks to draw attention to worsening air quality.
