9911796707
TMI Blog2023 (8) TMI 1353X X X X Extracts X X X X X X X X Extracts X X X X ..... 2. The DGAP vide the above said Report dated 28.03.2022 had inter-alia stated the following: - i. The Applicant No. 1 alleged that the Respondent had not passed on the benefit of ITC to him in terms of the Section 171 of the CGST Act, 2017 by way of commensurate reduction in the price in the Respondent's project "Godrej Elements". ii. On receipt of the reference from the Standing Committee on Anti-profiteering, a Notice of Initiation of Investigation under Rule 129 of the Rules was issued by the Director General of Anti-profiteering on 16.09.2021, calling upon the Respondent to reply as to whether he admitted that the benefit of ITC had not been passed on to the Applicant No. 1 by way of commensurate reduction in price and if so, to su ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... voices submitted by the Respondent. Further the Respondent had not opted for new scheme as per Notification No. 03/2019 Central Tax (Rate) dated 29.03.2019 and was charging GST @18% (effectively 12%) for the period from 01.04.2019 to 31.08.2021 after availing the Input Tax Credit. vi. From the verification of documents submitted by the Respondent and his submission, it was found by the DGAP that there was no sale or allotment of the flats in the said project in the pre-GST regime. In this regard, the DGAP has further stated that :- a) In the instant case, the Registration issued on 10.09.2021 by the Secretary, Maharashtra Real Estate Regulatory Authority (RERA) showed that the registration was valid for a period of 4 years, 07 months an ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... tivities etc. had taken place in post-GST period. From the perusal of the Home-buyers' list submitted by the Respondent, it was observed that date of first booking of flats was 22.06.2018. Neither the Applicant No. 1 nor the Respondent had given any document to prove that any booking for the project was done in pre-GST period. Hence, the base price in pre-GST era could not be computed to compare with the price charged in post-GST era. It was also observed that the price charged for the said residential flat was for a new project developed and constructed by the Respondent after implementation of GST. viii. Section 171 of the CGST Act, 2017 comes into play in the event when there is a reduction in the rate of tax or there is an increase in ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 9.05.2022 of the erstwhile NAA, three more opportunities were given to the Applicant No. 1 for filing his submissions, but no submissions were filed by the Applicant No. 1. Further three opportunities for personal hearing on 16.08.2022, 08.09.2022 and 24.11.2022 respectively were also accorded by the erstwhile NAA to the Applicant no. 1, but he was not present in any of the hearings. 4. The above report of the DGAP was considered by the Competition Commission of India (hereinafter referred to as "Commission") on 03.08.2023 after it had been empowered to examine the cases of Anti-profiteering by the Central Government. In the interest of natural justice, the Commission accorded last opportunity for personal hearing to Applicant No. 1 on 17. ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... elopment Control Rule' were issued by the Pune Metropolitan Regional Development Authority, Pune, Maharashtra on 09.05.2018 i.e. in the GST period. The chronology of the above events shows that the service rendered by the Respondent by way of construction and development of this project was clearly after the implementation of GST and not during the pre-GST regime. 7. The Commission also finds that all the relevant events i.e. RERA Certificate, booking and allotment of flats, Development Permission, Certificate of Commencement of construction activity and receipt of payments have taken place in the GST period only. Hence, there was no pre-GST tax rate or input tax credit availability that could be compared with the GST period tax rate and t ..... X X X X Extracts X X X X X X X X Extracts X X X X
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