How to deposit amount due to order of ANTI-PROFITEERING Authority : Rule 133(3) of CGST Rules Changed

By | June 14, 2018
(Last Updated On: June 14, 2018)

How to deposit amount due to order of ANTI-PROFITEERING Authority : Rule 133(3) of CGST Rules Changed

Rule 133 of CGST Rules deals Order of the Authority (ANTI-PROFITEERING)

As per  Notification No 26/2018 Central Tax Dated 13.06.2018 : CGST (Fifth Amendment) Rules 2018

in rule 133, for sub-rule (3), the following shall be substituted, namely:-

“(3) Where the Authority determines that a registered person has not passed on the benefit of the reduction in the rate of tax on the supply of goods or services or the benefit of input tax credit to the recipient by way of commensurate reduction in prices, the Authority may order-

(a) reduction in prices;

(b) return to the recipient, an amount equivalent to the amount not passed on by way of commensurate reduction in prices along with interest at the rate of eighteen per cent. from the date of collection of the higher amount till the date of the return of such amount or recovery of the amount including interest not returned, as the case may be;

(c) the deposit of an amount equivalent to fifty per cent. of the amount determined under the above clause in the Fund constituted under section 57 and the remaining fifty per cent. of the amount in the Fund constituted under section 57 of the Goods and Services Tax Act, 2017 of the concerned State, where the eligible person does not claim return of the amount or is not identifiable;

(d) imposition of penalty as specified under the Act; and

(e) cancellation of registration under the Act.

Explanation: For the purpose of this sub-rule, the expression, “concerned State” means the State in respect of which the Authority passes an order.”;


Note : Prior to above substitution Rule 133 (3) of CGST Rules was as follow :-

(3) Where the Authority determines that a registered person has not passed on the benefit of the reduction in the rate of tax on the supply of goods or services or the benefit of input tax credit to the recipient by way of commensurate reduction in prices, the Authority may order—

(a)reduction in prices;
(b)return to the recipient, an amount equivalent to the amount not passed on by way of commensurate reduction in prices along with interest at the rate of eighteen per cent from the date of collection of the higher amount till the date of the return of such amount or recovery of the amount including interest not returned, as the case may be, in case the eligible person does not claim return of the amount or is not identifiable, and depositing the same in the Fund referred to in section 57;
(c)imposition of penalty as specified under the Act; and
(d)cancellation of registration under the Act.

 

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