Section 171 of the CGST Act, 2017— Anti- Profiteering – The DGAP submitted its report and concluded that the total benefit of ITC that the Respondent was required to pass on during the period 01.07.2017 to 31.12.2018 in respect of residential flats as well as commercial shops, came to Rs.1,42,45,741/- which included GST. Out of the total profiteered amount of Rs.1,42,45,741/-, the Respondent has realised additional amount of Rs. 70,728/- from the Applicant No. 1, inclusive of GST. The Authority observed that Respondent has denied the benefit of ITC to the customers in contravention of the provisions of Section 171 (1) of the Act and he has thus committed an offence under Section 171 (3A), therefore, he is liable for imposition of penalty. However, since the provisions of Section 171 (3A) have come into force w.e.f. 01.01.2020, whereas, the period during which violation has occurred is w.e.f. 01.07.2017 to 31.12.2018, hence the penalty prescribed under the above Section cannot be imposed on Respondent retrospectively.

Held that:- The Hon’ble Anti-Profiteering Authority directed the  concerned jurisdictional CGST/SGST Commissioner to ensure compliance of Order. The benefit of ITC is passed on to each customer as per Annexure- A attached with this Order along with interest @18%, as prescribed under Rule 133 (3) (b) of the Rules, if not paid already. The concerned jurisdictional CGST/SGST Commissioner shall also submit a Report regarding compliance of this order to this Authority and the DGAP within a period of 4 months.