CGST Rules – Central Goods and Services Tax Rules, 2017
This rule was made and amended vide the following notifications • Central Tax Notification No. 14/2018 (dated 23rd March 2018) • Central Tax Notification No. 29/2018 (dated 6th July 2018) • Central Tax Notification No. 31/2019 (dated 28th June 2019)
(1) Where the Standing Committee is satisfied that there is a prima-facie evidence to show that the supplier has not passed on the benefit of reduction in the rate of tax on the supply of goods or services or the benefit of input tax credit to the recipient by way of commensurate reduction in prices, it shall refer the matter to the 2Director General of Safeguards Director General of Anti-profiteering for a detailed investigation.
(2) The 2Director General of Safeguards Director General of Anti-profiteering shall conduct investigation and collect evidence necessary to determine whether the benefit of reduction in the rate of tax on any supply of goods or services or the benefit of input
tax credit has been passed on to the recipient by way of commensurate reduction in prices.
(3) The 2Director General of Safeguards Director General of Anti-profiteering shall, before initiation of the investigation, issue a notice to the interested parties containing, inter alia, information on the following, namely:-
(a) the description of the goods or services in respect of which the proceedings have been initiated;
(b) summary of the statement of facts on which the allegations are based; and
(c) the time limit allowed to the interested parties and other persons who may have information related to the proceedings for furnishing their reply.
(4) The 2Director General of Safeguards Director General of Anti-profiteering may also issue notices to such other persons as deemed fit for a fair enquiry into the matter.
(5) The 2Director General of Safeguards Director General of Anti-profiteering shall make available the evidence presented to it by one interested party to the other interested parties, participating in the proceedings.
(6) The 2Director General of Safeguards Director General of Anti-profiteering shall complete the investigation within a period of 3threesix months of the receipt of the reference from the Standing Committee or within such extended period not exceeding a further
period of three months for reasons to be recorded in writing 1as allowed by the Standing Committee as may be allowed by the Authority and, upon completion of the investigation, furnish to the Authority, a report of its findings along with the relevant records.
1 Substituted in Central Goods and Services Tax (Third Amendment) Rules, 2018, vide Notification No. 14/2018 Central Tax (dated 23rd March 2018) 2 Substituted in Central Goods and Services Tax (Seventh Amendment) Rules, 2018, vide Notification No. 29/2018 Central Tax (dated 6th July 2018) 3 Substituted in Central Goods and Services Tax (Fourth Amendment) Rules, 2019, vide Notification No.31/2019 Central Tax (dated 28th June 2019)