National Anti-Profiteering Authority Provisions Should Be Used Minimally: CBEC Chief

Dated New Delhi, November 22, 2017

New Delhi: Central Board of Excise and Customs (CBEC) chairperson Vanaja N Sarna on Wednesday said that the administration wanted the provision of National Anti-profiteering Authority (NAA) to be used minimally.

“There is a three-level consumer grievance redressal mechanism under the Goods and Services Tax (GST) where people can complain – state committee, standing committee and the NAA. We have been saying that this particular provision of the NAA should be used minimally. We want that, by and large, the market itself passes on the benefits to the consumers after the GST rate cut. That is why I wrote to the Fast-Moving Consumer Goods (FMCG) companies,” Sarna told ANI.

Sarna had written to all major FMCG companies pointing out the need to immediately revise the maximum retail price on all the products on which the GST has been reduced.

When asked about the viability of the move, Sarna said, “There have been media reports that some companies have lowered the prices of certain consumer goods.”

FMCG companies should take the onus to pass the benefit to the last consumer. Since rate cut was introduced, companies have also been telling their retailers, distributors and dealers to reduce the prices, she added.

Speaking on the issue of restaurants still overpricing their products, she said, “The restaurant taxation is different from consumer goods. Earlier, there was Input Tax Credit at different rates- AC, non AC. Now, the restaurants are taxed without Input Tax credit at 5 per cent. If there are serious complaints, we will examine it holistically.”

Source: www.timesnownews.com