GSTAT Upholds Profiteering Finding as Cinema Increased Base Ticket Prices After GST Rate Cut

DG Anti Profiteering Vs ASR Cinema LLP (GSTAT) The case arose from a complaint alleging that ASR Cinemas LLP failed to pass on the benefit of a reduction in GST rate on cinema admission tickets from 18% to 12%, effective from 1 January 2019, as required under Section 171 of the CGST Act, 2017. The complaint was referred to the Director General of Anti-Profiteering (DGAP) for investigation after the Standing Committee found a prima facie case. The DGAP investigated the period from 1 January 2019 to 30 September 2019 and found that although the GST rate on admission tickets priced at ₹100 or l...