By Accommodation Times Bureau
With circular F. No. D-22011/AP/1/2017/1120-1167 dated 19th Sept 2017, Directorate General of Safeguards (Central Board of Excise and Customs) , the National Anti-Profiteering Authority (NAA) for GST was established.
It was widely accepted that Input Credits of GST shall be passed to end user / buyer of the property. Although it was not mendatory for builder and developers but almost all big builders started giving input credit as a relief to buyer to reduce the burden of tax. The Central Goods and Services Tax (Seventh Amendment) Rules, 2017, issued vide Notification No. 34/2017-Central Tax dated 15/09/2017, amended certain statutory provisions pertaining to the eligibility criteria and the terms and conditions of appointment as Technical Member of the NAA. As per amended Rule 122 of the Central Goods and Services Tax Rules 2017 (Rules), the officers who are or have been Commissioners of State Tax or Central Tax for at least one year or have held an equivalent post under the existing law, are eligible to be appointed as Technical Member of the NAA. Further, in terms of Rule 124 (3) of the Rules, a Technical Member shall be paid a monthly salary and other allowances and benefits as are admissible to him when holding an equivalent Group “A” post in the Government of India. If a retired officer is selected as a Technical Member, he shall be paid a monthly salary equal to his last drawn salary reduced by the amount of pension in accordance with the recommendations of the Seventh Pay Commission, as accepted by the Central Government. Besides, as per Rule 124 (5) of the Rules, the Central Government may terminate the appointment of a Technical Member of the NAA, upon the recommendations of the GST Council and subject to an opportunity of being heard. The other terms and conditions of appointment of Technical Member of the NAA remain unchanged.
The NAA will observe and recommend procedure and modulity to pass on input credit under GST to the council and keep an eye on people found under profiteering .