NATIONAL ANTI-PROFITEERING AUTHORITY (NAA) AND ITS ORDERS IN 2018
By: – Dr. Sanjiv Agarwal
Goods and Services Tax – GST
Dated:- 25-1-2019
The GST law contains a provision on anti-profiteering measure as a deterrent for trade and industry to enjoy unjust enrichment in terms of profit arising out of implementation of Goods and Services Tax in India, i.e., anti-profiteering measure would obligate the businesses to pass on the cost benefit arising out of GST implementation to their customers.
The Authority constituted by Central Government has powers to impose a penalty in case it finds that the price being charged has not been reduced consequent to reduction in rate of tax or allowance of input tax credit.
During the two years of initial transition into GST regime, Anti-Profiteering Authority (NAA) has the mandate to ask businesses that have not passed on full benefits of reduced tax burden to consumers to make up for such benefit, with interest.
During the year 2018,
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e up for such benefit, with interest.
During the year 2018, the NAA has passed 28 orders against the complaints referred to it. Following is the gist of NAA Orders issued in 2018. It may be noted that out of 28 Orders, Anti-profiteering could not be established in 18 cases.
S.No.
Date
Complaint Against
Issue
Anti-Profiteering
Citations
1
27.03.2018
M/s Vrandavaneshwree Automotive Pvt. Ltd.
Price difference on sale of car in GST regime booked in pre-GST regime
Not established
(2018) 4 TMI 1377 (NAA)
2
04.05.2018
M/s KRBL Ltd
Levy of GST @5% on branded rice in GST regime
Not established
(2018) 5 TMI 760 (NAA)
3
31.05.2018
M/s Schindler India Pvt. Ltd., Mumbai
Purchase of lift before and after GST, GST charged on excise duty
Not established
(2018) 6 TMI 687 (NAA)
4
18.07.2018
M/s Flipkart Internet Pvt. Ltd., Bangalore
Discount withdrawn on sale of Godrej almirah on Flipkart
Not established
(2018) 7 TMI 1490 (NAA)
5
07.09.2018
M/s Sharma Trading Compa
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nefit of GST rate reduction from 18% to 5% on supplies of burgers
Not established for want of evidence
(2018) 10 TMI 1615 (NAA)
12
16.11.2018
M/s Fabindia
Sale of Bathing Bar and instant Drink Powder on old MRP even after GST fixed @ 18%
Not established
(2018) 11 TMI 1011 (NAA)
13
16.11.2018
M/s Hard Castle
(McDonald's)
No passing of benefit of GST rate reduction from 18% to 5% on supplies of burgers
Upheld
[2018] 11 TMI 1073 (NAA)
14
28.11.2018
M/s Theco India Pvt. Ltd.
(Milling Machine Furnace)
No passing of benefit of GST rate reduction and ITC on purchase of important machinery
Upheld
2018 (12) TMI 135 (NAA)
15
06.12.2018
M/s J.P. and Sons
(Johnson & Johnson Baby)
Charge of same MRP after tax reduction
Upheld
(2018) 12 TMI 472 (NAA)
16
07.12.2018
M/s Harish Bakers & Confectioners Pvt. Ltd. (Cadbury Dairy Milk Chocolate)
No passing of benefit of GST rate reduction from 28% to 18 % on chocolates
Upheld
(2018) 12 TMI 473 (NAA)
17
17.12.2018
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hed
(2018) 12 TMI 1403 (NAA)
23
24.12.2018
M/s Impact Clothing Co.
Allegation of profiteering on sale of garments
Not established
(2018) 12 TMI 1404 (NAA)
24
27.12.2018
M/s Raj & Company
Allegation of not passing benefit of tax rate reduction and not changing MRP of various FMCG products
Upheld
(2019) 1 TMI 22 (NAA)
25
27.12.2018
M/s Janson
Allegation of not passing benefit of tax rate reduction on supply of Lungi
Not established
(2018) 12 TMI 1600 (NAA)
26
27.12.2018
M/s Lorenzo Vitrified Tiles Pvt. Ltd.
Allegation of not passing benefit of tax rate reduction on supply of Mirror Series Tiles
Not established
(2018) 12 TMI 1601 (NAA)
27
27.12.2018
M/s Ahuja Radios
Allegation of not passing benefit of tax rate reduction on supply of Ceiling / wall speaker
Not established
(2018) 12 TMI 1602 (NAA)
28
27.12.2018
M/s Asian Paints Ltd.
Allegation of not passing benefit of tax rate reduction on supply of paint product
Not established
(2019) 1 TMI 2
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