Section 171 of the CGST Act, 2017— Anti- Profiteering – The DGAP submitted its report after a detailed investigation under Rule 129. The DGAP reported that benefit of additional ITC to the tune of 1.85% of the turnover, which has accrued to the Respondent post-GST was required to be passed on by the Respondent to his recipients. Section 171 appeared to have been contravened by the Respondent, in as much as the additional benefit of ITC received during the period 01.07.2017 to 31.03.2019, had not been passed on by him to the Applicant. The Respondent had realized an additional amount to the tune of Rs. 4,31,473/-. The Authority observed and accepted the computation of profiteered amount as per the Report of the DGAP. This Authority under Rule 133 (3) (a) of the CGST Rules, 2017

Held that:- The Hon’ble Anti-Profiteering Authority ordered that the Respondent shall reduce the prices to be realized from the home buyers commensurate with the benefit of ITC received by him. The provisions of Section 171 (3A) have been inserted in the Act, 2017 and the same became operational w.e.f. 01.01.2020. The amount profiteered as determined relates to the period from 1.07.2017 to 31.03.2019 only. Therefore, the penal provisions under Section 171 (3A) are not applicable in this case.