DGAP Vs Umang Realtech Private Limited (GSTAT)
The matter was heard in physical mode before the Goods and Services Tax Appellate Tribunal. The Director General of Anti-Profiteering (DGAP) was represented by the Authorized Departmental Representative, while the respondent company was represented by its Chartered Accountant and Director.
The proceedings originated from an application dated 08.01.2019 filed by the Flat Buyers Association under Rule 128 of the Central Goods and Services Tax Rules, 2017. The application alleged profiteering in relation to construction services provided for the residential project “Winter Hills-77” located at Sector-77, Gurgaon. The allegation was that the benefit of input tax credit (ITC) had not been properly passed on to the flat buyers.
The Standing Committee on Anti-Profiteering considered the application in its meeting dated 11.03.2019 and forwarded the matter to the DGAP for investigation. The DGAP conducted the investigation and submitted its report dated 13.12.2024, which was received on 17.12.2024. In the report, the DGAP concluded that the respondent had profiteered an amount of ₹4,16,85,896. GST at the rate of 12% amounting to ₹50,02,308 was computed on this amount, taking the total to ₹4,66,88,204. The report also recorded that the issue of passing on the benefit of ITC had been examined in detail and that there appeared to be no remaining ITC benefit required to be passed on to the buyers.
