New Delhi: Cigarettes are set to become costlier as the National Calamity Contingent Duty (NCCD) on cigarettes specified in the Union Budget 2023-24 is revised. Presenting the budget, Union Finance Minister Nirmala Sitharaman on Wednesday proposed to revise the NCCD on specified cigarettes by about 16 per cent. The NCCD on specified cigarettes was last revised three years ago.
As per the budget, for entry-level filter cigarettes of length up to 70 mm, the NCCD has been increased from Rs 440 per 1,000 cigarette sticks to Rs 510. Therefore, for a pack of 10 such cigarettes, the NCCD price impact is small. As compared to a Rs.
Similarly, for mid-range cigarettes whose length is more than 70 mm but less than 75 mm, the NCCD has been increased from Rs 545 per 1,000 cigarette sticks to Rs 630. Therefore, for a pack of 10 such cigarettes, the NCCD is again the price effect. Less than a rupee.
The NCCD has been increased from Rs 735 to Rs 850 per 1,000 cigarette sticks for premium category cigarettes whose length is more than 75 mm. Therefore, the price impact of the NCCD for a pack of 20 such cigarettes is less than Rs 3.
The budget announced on Wednesday proposed to reduce the number of basic customs duty (BCD) rates on items other than textiles and agriculture from 21 to 13. This requires minor changes in basic customs duty, cess and surcharge on certain items. Toys, cycles, automobiles and naphtha.