Case Law Details
Director General of Anti-Profiteering Vs Miraj Entertainment Limited (Competition Commission of India)
In a recent ruling, the Competition Commission of India (CCI) has cleared Miraj Entertainment Limited of accusations of profiteering in relation to the reduction of GST rates for cinema tickets. The decision comes after a detailed investigation and subsequent hearings regarding alleged violations of Section 171 of the Central Goods and Services Tax Act, 2017.
The investigation was initiated based on a report submitted by the Director General of Anti-Profiteering (DGAP) on November 30, 2023, following a reinvestigation under Rule 133(4) of the Central Goods & Service Tax (CGST) Rules, 2017, as directed by the CCI.
Initially, the DGAP’s report dated December 31, 2020, had calculated profiteering in relation to both ‘Regular’ and ‘Exception’ categories of tickets following the reduction of GST rates from 28% to 18% with effect from January 1, 2019. However, a subsequent report dated March 3, 2023, found no contravention of Section 171(1) of the CGST Act, 2017, in respect of the ‘Exception Category’ tickets.
Upon reviewing the reports, the CCI found discrepancies and contradictions between them, leading to further reinvestigation under Rule 133(4) of the CGST Rules, 2017. The subsequent report from the DGAP dated November 30, 2023, addressed the concerns raised by the CCI and clarified several points.
Please become a Premium member. If you are already a Premium member, login here to access the full content.
Author Bio
