DG Anti Profiteering Vs Mussoorie Dehradun Development Authority (GSTAT)
The GST Appellate Tribunal (GSTAT) heard the matter in hybrid mode in a case concerning alleged profiteering. The Directorate General of Anti-Profiteering (DGAP) was represented by an Assistant Commissioner along with an Additional Assistant Director, while the Respondent was represented by counsel appearing in person. The original complainant also appeared virtually before the Tribunal.
During the hearing, the Tribunal observed that there appeared to be a possible miscalculation in the profiteered amount determined by the DGAP. According to the DGAP’s computation in Table-A of Paragraph 18 of its report, the total Input Tax Credit (ITC) availed post-GST was considered as ₹21,46,41,680/-. However, the Respondent submitted that this figure related to all projects collectively and not the specific project involved in the proceedings. The Respondent stated that it was prepared to submit Chartered Accountant-certified documents showing that the actual post-GST credit for the present project was ₹15,32,70,003/-.
The Tribunal further noted that the DGAP was unable to satisfactorily explain how the post-GST credit ratio had been computed at 20.53%. The Bench observed that, in most cases, GST imposed after 01.07.2017 was generally 18%, with an abatement of around 6%, leading to effective ITC availment of approximately 12%. Although the DGAP stated that the calculations were based on documents submitted by the Respondent, the Tribunal expressed dissatisfaction with the explanation provided.
