Table 5

Impact of the GST on Smokeless Tobacco across Indian states

StatesPre-GST baseline (estimated): 2017–2018Post-GST: 2017–2018
VATRetail price (INR per pouch of 10 g)Tax burdenQuantity (million 10 g pouch)VAT revenue (INR million)Change in quantity (%)Change in SGST revenue compared with VAT (%)
All India30.9%11.5057.1%11 44031 086−6.0%
 Madhya Pradesh52.0%13.6462.4%87941029.3%−82.8%
 Rajasthan45.0%12.9260.8%41516634.9%−80.7%
 Uttar Pradesh41.0%12.5159.9%246989822.2%−79.3%
 Jammu & Kashmir40.0%12.4159.6%23821.5%−78.9%
 Himachal Pradesh36.0%12.0158.5%1031−1.4%−77.2%
 West Bengal35.0%11.9158.3%8372585−2.2%−76.7%
 Jharkhand32.0%11.6157.4%4921383−4.5%−75.0%
 Mizoram30.0%11.4156.8%1642−6.1%−73.7%
 Tamil Nadu30.0%11.4156.8%355934−6.1%−73.7%
 Gujarat25.0%10.9155.3%5271150−10.4%−69.8%
 Maharashtra25.0%10.9155.3%12732778−10.4%−69.8%
 Nagaland25.0%10.9155.3%3474−10.4%−69.8%
 Odisha25.0%10.9155.3%8011748−10.4%−69.8%
 Tripura25.0%10.9155.3%81176−10.4%−69.8%
 Kerala22.5%10.6654.5%84164−12.7%−67.2%
 Sikkim22.0%10.6254.3%35−13.1%−66.6%
 Chhattisgarh21.5%10.5754.1%399745−13.6%−66.0%
 Haryana21.0%10.5254.0%73133−14.1%−65.3%
 Arunachal Pradesh20.0%10.4253.6%2441−15.0%−64.0%
 Delhi20.0%10.4253.6%75130−15.0%−64.0%
 Telangana20.0%10.4253.6%162282−15.0%−64.0%
 Andhra Pradesh20.0%10.4253.6%162281−15.0%−64.0%
 Assam20.0%10.4253.6%560973−15.0%−64.0%
 Bihar20.0%10.4253.6%9811703−15.0%−64.0%
 Chandigarh20.0%10.4253.6%36−15.0%−64.0%
 Meghalaya20.0%10.4253.6%2543−15.0%−64.0%
 Uttarakhand20.0%10.4253.6%5696−15.0%−64.0%
 Karnataka17.0%10.1352.6%456670−18.0%−59.0%
 Punjab14.3%9.8751.5%103128−20.8%−52.8%
 Manipur13.5%9.7951.2%6171−21.7%−50.5%
  • States are sorted in decreasing order of percentage change in revenue of SLT under the GST. Aggregates for India are weighted averages based on states SLT prevalence shares.

  • GST, goods and services tax; INR, Indian rupee; SGST, state GST; VAT, value-added tax.