CBIC gives time till Nov 30 for authorities to complete anti-profiteering related compliance

New Delhi: The government has given time till November 30 for authorities, like DGAP, to complete anti-profiteering related compliance, which falls due between March 20 and November 29. In a notification, the CBIC said "where any time limit for completion or compliance of any action, by any authority,...under section 171 of the said Act, which falls during the period from the March 20 to November 29, 2020, and where completion or compliance of such action has not been made within such time, then, the time-limit for completion or compliance ... shall be extended up to November 30, 2020".

Section 171 of GST Act deals with anti-profiteering measures.

Under the Goods and Services Tax (GST) law a National Anti-Profiteering Authority (NAA) and a Standing Committee on anti-profiteering have been set up to examine complaints of not passing on tax rate cut benefits to consumers. GST was rolled out on July 1, 2017.


Directorate General of Anti Profiteering (DGAP) investigates profiteering complaints and submits report to NAA, which passes the final order.

DGAP is mandated to complete the investigation within a period of six months of the receipt of the reference from the Standing Committee, which can be further extended by three months.

The GST rules also specify that the NAA shall, within a period of six months from the date of the receipt of the report from the DGAP determine whether a registered person has passed on the benefit of the 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.

EY Tax Partner Abhishek Jain said this extension for anti-profiteering related investigations was mostly required by the revenue authorities essentially on account of the limitations (like data verification, IT access, document verifications, etc) caused by the pandemic.

"The industry as well has been looking for similar extensions especially for the annual return and reconciliation statement deadline for FY18-19, e-invoicing and similar compliances," Jain said.

AMRG & Associates Senior Partner Rajat Mohan said the Central Board of Indirect Taxes and Customs (CBIC) has given yet another COVID extension for all actions under Anti-profiteering laws by tax authorities till November 30, 2020.