Kerala State Level Screening Committee on Anti-Profiteering v. Lorenzo Vitrified Tiles (P.) Ltd
Date: December 27, 2018
Court: National Anti-Profiteering Authority
Type: Anti-Profiteering
Judge(s)/Member(s): B.N. SHARMA, CHAIRMAN J.C. CHAUHAN AND MS. R. BHAGYADEVI, TECHNICAL MEMBER
Subject Matter
Lorenzo Vitrified Tiles Pvt Ltd not guilty of profiteering on supply of Mirror Series Tiles
Summary
- The Kerala State Screening Committee on Anti-Profiteering has alleged profiteering by respondent on supply of Mirror Series Tiles by not passing on benefit of reduction in rate of tax at time of implementation of GST with effect from 1.7..2017. It was also observed that the rate of tax has been decreased from 28 per cent to 18 per cent from 15.11.2017 by virtue of notification 41/2017-CTR .
- However the NAA observed that there was no reduction in tax rate on 'Mirror Series Tiles'. In fact the rate was increased from 14.44 per cent (pre GST) to 28 per cent(post GST) and also there was no increase in per unit price of said product. Further, though tax rate had been reduced from 28 per cent to 18 per cent with effect from 15-11-2017, Screening Committee failed to examine any document to establish that benefit of tax reduction had not been passed on by respondent to recipient. Hence, allegation that benefit of rate reduction had not been passed on is not sustainable.