After GST, sell goods at revised MRP or go to jail Govt tells manufacturers

After GST, the prices of most of the products have changed. The government has given a strict notification to the traders to sell the commodities and goods at new prices and not on the old prices, failing which, the trader will be imposed a serious penalty.

The GST news says that the government also told the companies that they must print the revised MRP or maximum retail price of goods they have manufactured. If they do not adhere to the new rule, they will have to face punishment that may also include a year in being in prison along with a fine of up to Rs 1 lakh.

This is a recent news regarding the government’s effort to make sure the compliance is done by the manufacturers and retailers as per the latest Goods and Services Tax (GST) law. Many consumers have made complaints due to the overcharging by the retailers and the imposition of arbitrary tax rates.

In line with the consumer protection laws, a fine has been decided of Rs. 25,000 for the first-time offenders, up to Rs 50,000 for the two time offenders and Rs1 lakh fine along with a year in jail in case of a more than three repeat offences. A spokesperson from the legal metrology department says that the companies are taking advantage of ITC under GST to bring their manufacturing costs down. But the companies are hesitating from passing the benefits to their consumers which is very wrong.

The department will also monitor the compliance of this new government rule of revised MRPs. The department has also asked the consumers to raise and file the complaints in case they experience any such violations by the traders. The government has gone one step ahead and has set up helplines under the ministry of consumer affairs to resolve the customer grievances and their GST related queries. The helpline has already received more than 700 queries till now.

In an earlier rule, the government had permitted the traders to sell their pre-GST stocks with new MRP stickers till the date of September 30. But now, the fresh stocks are mandatory to carry revised MRP.

Some traders and retailers are charging GST over and above the MRP of the good which is a serious violation of the anti-profiteering clauses of the GST Act, the legal news India says.

Also, a day before the GST roll-out, the government had said that the products sold online, and medical devices will also have to compulsorily display MRP and other essential information on them from January 1, 2018. Also, after January 1, 2018, the companies will not be allowed to charge a different price for water, soft drinks or snacks at premium locations. The rules also prevent the dual MRPs from being printed on products like in Mall, hotels and airport. The government has observed that in spite of having MRP, the medical devices and products like stent are sold according to the paying ability of the customer.

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Created on Sep 21st 2017 05:43. Viewed 308 times.

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