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New Delhi: Finance Minister Nirmala Sitharaman on Thursday proposed the Health Security se National Security Cess Bill, 2025, which will levy tax on goods like pan masala.

Speaking in the Lok Sabha, Sitharaman noted that the Bill will not be levied on essential commodities, and the revenue from the levy will be shared with states for spending on health schemes.

“This is a cess, and it is placed not on any essential commodity. The purpose of this Bill is to levy a cess on demerit goods, which are associated with significant health risks. We wish to impose such a cost, so that it is a deterrent, so people tend not to use it,” the minister said.

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