Sada Tambaku Pre-Mixed with Lime Classified as Chewing Tobacco, Attracts 28% GST: AAR

The Authority for Advance Ruling (AAR) has classified "Sada Tambaku," a traditional form of chewing tobacco mixed with lime, under the 28% Goods and Services Tax (GST) rate. The AAR rejected attempts to classify the product as unprocessed tobacco leaf, which attracts a lower GST rate. This ruling provides clarity on the applicable tax treatment for this specific category of traditional tobacco products, ensuring uniformity in its taxation under the GST regime.