<h1>Tobacco excise duty reintroduced to replace the GST compensation cess, with revenues shared with states to maintain tax incidence.</h1> The government amended the Central Excise Act to reintroduce excise duty on tobacco and tobacco products-specific rates for cigarettes and percentage levies on tobacco by weight-replace the GST compensation cess once it ends, and ensure excise receipts enter the divisible pool to be redistributed to states per Finance Commission recommendations.