GUILTY: Abbott Healthcare did not pass Rs 96.59 lakh GST benefit to consumers
Despite a fall in tax rates from 28% to 18%, the base price of the product of Abbott was increased from Rs 202.06 to Rs 230.90 per unit which resulted in an increase of the selling price and denial of passing the benefit of tax reduction to the customers.
New Delhi: In a major setback, Abbott Healthcare has been found guilty of not passing on the benefit of Goods and Services Tax(GST) rate reduction to the tune of Rs 96.59 lakh to consumers. The anti-profiteering authority, in its probe, found the company guilty. The authority directed the Mumbai- based company to deposit the amount in the consumer welfare fund.
The Government has approved the constitution of a National Anti-Profiteering Authority (NAA), the institutional mechanism under the GST law to check the unfair profit-making activities by the trading community.
While investigating a complaint, the Directorate General of Anti Profiteering found the company had not passed on the GST rate cut benefit while selling "Melaglow Rich (Niainamide) Depigmentation & Glow Restoration Cream".
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The NAA directed the company to deposit the profiteered amount to the Consumer Welfare Fund of the Centre and states, along with 18 per cent interest.
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Garima joined Medical Dialogues in the year 2017 and is currently working as a Senior Editor. She looks after all the Healthcare news pertaining to Medico-legal cases, MCI/DCI decisions, Medical Education issues, government policies as well as all the news and updates concerning Medical and Dental Colleges in India. She is a graduate from Delhi University. She can be contacted at editorial@medicaldialogues.in Contact no. 011-43720751 To know about our editorial team click here
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