National Anti-Profiteering Authority (NAA)


National Anti-profiteering Authority (NAA) is so being legitimate by the Central Government to look at whether or not extra input tax credits availed by any registered person or the reduction within the rate have really resulted in a proportionate reduction in costs to the recipients.

Any reduction in the rate of tax on any supply/offer of goods/products or services or the benefit of/good thing about input reduction ought to be passed on to the recipient by means of proportionate reduction in costs. However, it’s been the expertise of many countries that once GST was introduced there has been a marked increase in inflation and also the of commodities.

This happened in spite of the supply of the tax credit/reduction right from the production/assembly stage to the ultimate consumption stage which ought to have really reduced the ultimate costs. This was happening as a result of the suppliers weren’t passing on the proportionate benefits/edges to the buyer and thereby pampering in illegal profiteering.

The National Anti-Profiteering Authority (NAA) has been constituted/legitimated underneath Section 171 of the Central Goods/product and Services Tax Act, 2017 to make sure that the reduction in rate of tax or the benefit of/good thing about input tax credit/reduction is passed on to the recipient by means of proportionate reduction in costs. Further, subsequent steps are taken by the NAA to make sure that customers get the total benefit/profit about tax cuts:

Holding regular conferences with the Zonal Screening Committees and also the Chief Commissioners of Central Tax to fret upon client awareness programmes; Launching a helpline to resolve the queries of citizens/voters relating to registration of complaints against profiteering.

Receiving complaints through email and NAA portal.

Working with client welfare organizations so as to facilitate reaching activities.

Vision and Mission of NAA

The National Anti-Profiteering Authority (NAA) is the statutory mechanism underneath GST law to envision the unfair profiteering activities by the registered suppliers underneath GST law. The Authority’s core function/duty is to make sure that the proportionate benefits/profits of the reduction in GST rates on goods/products and services done by the GST Council and of the Input tax credit/reduction are passed on to the recipients by means of proportionate reduction within the costs by the suppliers.

The formation of NAA comes within the background of a rate reduction of an enormous variety of things by the GST Council in its 22nd meeting at Guwahati. At the meeting, the Council reduced rates of quite 200 items as well as the goods /products and services. This has created a tremendous decrease in impact and also the costumers are going to be benefited providing the registered suppliers underneath GST law are reducing the costs of individual things at once.

The Authority’s main function/duty is to make sure that the registered suppliers under GST law aren’t profiteering by charging higher costs from recipients in the name of GST. The legal mandate of NAA is to look at and check such profiteering activities and suggest vindicatory actions as well as cancellation of Registration. The chairman, NAA alongside 4 Technical members and with the help/facilitation of the Standing Committee/commission, Screening Committee in each State, and also the Directorate General of Anti-Profiteering within the Central Board of Indirect taxes & Customs (CBIC), can work along on the anti-profiteering front.

We hope to bring transparency in our decisions/choices and also be proactive in persuading the industry/business and the registered suppliers underneath GST law to pass on benefits/profits to the customers.

National Anti-Profiteering Authority could be a twofold check framework enforced to ensure prices keep in check and organizations are passing on the benefits/advantages to the end consumer/tip client. NAA additionally ensures that undue profiteering at the value of a common/layman, who is constantly the end consumer/tip client does not occur.

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