Overview
- After clearing the Lok Sabha on 5 December, the Health Security se National Security Cess Bill 2025 was taken up in the Rajya Sabha with Finance Minister Nirmala Sitharaman defending its scope and purpose.
- The proposed cess would be assessed on manufacturing capacity, linking charges to packing machine speed and product grammage rather than actual output or consumption.
- Sitharaman said essential commodities are excluded and the measure does not affect GST, describing the levy as a deterrent on demerit goods such as pan masala.
- Compliance provisions include self‑declaration of machinery and manual processes, monthly returns, and fixed monthly amounts for manual units, with illustrative rates showing sharply higher charges for higher‑capacity machines.
- Opposition MPs questioned the Hinglish title, demanded referral to a parliamentary panel, raised federalism and transparency concerns including powers to revise or double rates and expand covered goods, and some urged an outright ban on pan masala.