9911796707
TMI Blog2019 (2) TMI 738X X X X Extracts X X X X X X X X Extracts X X X X ..... reduction in the rate of tax and hence provisions of provisions of section 171 are not attracted in this case. As far as the submission of the Applicant No. I regarding deduction of an amount of ₹ 9.5 on account of CST from the pre-GST price is concerned the same does not appear to be correct as the Kerala State Screening Committee has failed to explain under which provisions of the Kerala CST Act, 2017 it can be deducted. Moreover, there has been increase in the rate of inter-state tax as the CST was increased from 2% to 5% of IGST in respect of such sales. Therefore, the claim made by the Applicant No. I is misplaced and hence it cannot be accepted. There was no reduction in the rate of tax on the above product w.e.f. 01.07.20 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e on Anti-Profiteering and was referred to the DGAP vide minutes of its meeting dated 0207.2018 for detailed investigations under Rule 129 (1) of the CGST Rules, 2017. 3. The DGAP has stated in his report dated 05.11.2018 that the Shirts (Design 689) (HSN Code 6205), were exempted from Central Excise duty, vide Notification No. 30/2004-CE dated 09.07.2004 and attracted only VAT @ 5%. After implementation of the GST w.e.f. 01.07.2017, the tax rate of the above product was fixed @ 5%. The pre-GST the post- GST sale invoice-wise details of the applicable tax rate and the base prices (excluding VAT or CST) of the said product supplied by the Respondent are mentioned in the table below:- Table S. No. ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... mittee, vide its letter dated 25.01.2019 has observed that the Impact Shirts were exempted from the Central Excise Duty vide Notification No. 30/2004- CE dated 09.07.2004 but in this transaction, CST @2% was also involved and when this CST element of ₹ 9.5 was reduced from the base price of ₹ 649.52/- in the pre-GST sale, still there was increase of ₹ 9.5 in the sale of post-CST period. 7. We have carefully considered the Report of the DGAP and the documents placed on record and find that the only issue that needs to be dwelled upon is as to whether there was a case of reduction in the rate of tax and whether the provisions of section 171 of CGST Act, 2017 are attracted in the case. 8. Perusal of Section 171 of the C ..... X X X X Extracts X X X X X X X X Extracts X X X X
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