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<h1>Government Enforces Mandatory Excise Duty on Pan Masala and Gutkha Based on Production Capacity, Effective July 1, 2008.</h1> As of July 1, 2008, the government implemented a mandatory excise duty scheme for Pan Masala and Gutkha based on production capacity. This replaces the previous optional compounded levy scheme. The new scheme applies to products manufactured with packing machines and packaged in pouches. It excludes pan masala without tobacco with betel nut content under 15% and products containing tobacco or gutkha that are packed manually or in non-pouch forms like tin packs.