What Was Proposed?
The Finance Bill, 2026 proposed introducing Excise Duty at 5% of the excisable value of coal.
What Did the Final Finance Act Provide?
The Finance Act, 2026 did not retain this proposal.
- The proposed 5% Excise Duty on coal was not introduced.
- Businesses using coal as an industrial energy input avoid the additional cost that this proposal would have created.
- The existing tax position on coal remains unchanged by this proposal.
Key Takeaway
Not every tax proposal in the Finance Bill becomes law. Businesses should always confirm which proposals were retained in the final Finance Act, 2026 before changing their tax treatment, budgets or pricing.
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