To stop profiteering and ensuring GST benefits, Govt clears setting up of ‘Anti-profiteering Authority’

New Delhi, November 17: The Union Cabinet on Thursday approved creation of National Anti-profiteering Authority (NAA) under GST, to ensure benefits of reduction in indirect tax rates are passed on to consumers.

He said, the authority will comprise a standing committee, screening committee in every state and Director General of safeguards in the central board of Excise and customs.

He said, the constitution of NAA will bolster the confidence of consumer as they reap the benefits of recent reduction in GST rates. He said, NAA enables consumers to apply for relief if they feel reduction in prices is not passed on to them and for this an institutional framework has been provided to take appropriate remedial action.

The Minister said, in case the consumers do not get the benefit of reduction in prices, they can apply for the relief to the screening committee to the particular state. In case the incident of profiteering relates to an item to mass impact, the application may be directly made to the standing committee.

Notably, the reduced GST rates have come into effect. Over 200 goods and eating out have become cheaper from today. Union Finance Minister Arun Jaitley had announced major GST relief to promote ease of doing business after the GST Council met in Guwahati last week. Jaitley had said, GST on 178 items has been reduced to 18 percent from 28 percent.

He had also said, all stand alone restaurants irrespective of air conditioned or otherwise, would attract 5 percent tax without Input Tax Credit. The Federation of Hotel and Restaurant Associations of India said, the Council's decision will help restaurants across the country with rationalised tariffs.