GST benefits: Airtel, IndiGo under Anti-Profiteering Authority's radar

The National Anti-Profiteering Authority was set up in November 2017, to ensure the benefit of rate reduction or reduced tax incidence was passed on to end-consumers

The telecom and airline sectors have come under the scanner of the National Anti-Profiteering Authority (NAA) for the goods and services tax (GST).

The government is asking market leaders in each sector if the benefit of rate reduction on account of input tax credit (ITC) has been passed on to the end consumer. In this regard, the NAA has written to IndiGo, largest airline by market share, and Airtel, which has the same position in the telecom sector. Their letter seeks details of the ITC benefits that have accrued to the entity and whether that created room for a price reduction