Cigars and cigarettes placed in Schedule III, subject to 40% GST effective 22-09-2025 under amended rates. A 40% GST rate applies to cigars, cheroots, cigarillos and cigarettes, of tobacco or tobacco substitutes, listed in Schedule III effective 22-09-2025; the schedule entry was inserted by Notification No. 19/2025 - Integrated Tax (Rate) dated 31-12-2025 with a working effective date of 01-02-2026.