Putty manufacturing companies penalized for not passing GST benefit to consumers

Excelsior Correspondent

JAMMU, Aug 14: The Department of Legal Metrology has penalized two wall putty manufacturing companies for not marking revised MRP on their products after the Central Government reduced GST tax slab on such items from 28% to 18%.
According to Deputy Controller Consumer Protection Jammu, a team of Legal Metrology, inspected the C&F of Birla White & JK wall putty at Kunjwani and Trikuta Nagar.
During inspection, it was found that after the reduction of tax slab from 28% to 18%, both the C&F conducted the sale of wall putty with tax slab of 18% and issued the sale bill to dealers but reduced MRP for the benefits of consumer was not marked on the wall putty bags.
The Govt. of India has issued directions that all such pre-packed commodities with reduced GST tax slab must bear revised MRP so that consumer can avail the benefit of tax reduction.
The team seized all the documents related to sale of such bags and sale was stopped till the necessary rectification was done by the company management.
The management of the companies gave assurance to comply all the provisions. The reduced MRP was marked on the wall putty bags equivalent to reduction of Tax slab. The cases of both the companies were compounded and penalty of Rs 75000 was imposed and recovered.