Rule 127 of CGST Rules 2017: Duties of the Authority (Anti-Profiteering)

Provisions under Rule 127 of the Central Goods and Services Tax (CGST) Rules, 2017 relating to “Duties of the Authority (Anti-Profiteering)”, are as under:

CGST Rule 127: Duties of the Authority (Chapter-XV: Anti-Profiteering) 

It shall be the duty of the Authority,-

(i) to determine whether any reduction in the rate of tax on any supply of goods or services or the benefit of input tax credit has been passed on to the recipient by way of commensurate reduction in prices;

(ii) to identify the registered person who has not passed on the benefit of reduction in the rate of tax on supply of goods or services or the benefit of input tax credit to the recipient by way of commensurate reduction in prices;

(iii) to 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 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 in the Act; and

(d) cancellation of registration under the Act.

(iv) to furnish a performance report to the Council by the tenth day of the close of each quarter.

Amendments History:

1. Clause (iv) inserted vide Central Tax Notification 34/2017 dt. 15/09/2017.

2. In Clause (iv), the text ‘day’ inserted vide Central Tax Notification 14/2018 dt. 23/03/2018.

—–

Note: The CGST Rules 2017 along with the prescribed Forms were initially notified vide Central Tax Notifications 3/2017 dt. 19/06/2017 (Rule 1 to 26), 10/2017 dt. 28/06/2017 (Rules 27 to 138) and 15/2017 dt. 01/07/2017 (Rules 139 to 162). These Rules/ Forms were subsequently amended by CBIC through various Notifications issued from time to time. Information on this page is a Rule-wise compilation of Amendments made by all such Notifications upto 29/12/2021, with best possible efforts for accuracy. In any case, E&OE. For official/ updated information, please visit CBIC website.