https://www.taxtmi.com/caselaws?id=441123 Anti-profiteering under Section 171 of the CGST Act was held inapplicable to royalty and advertisement charges in a franchisee-franchisor model where franchisees independently operated outlets, fixed sale prices, and bore operating costs. The franchisor merely collected contractually agreed royalty and advertisement fees on net sales, with no shown control over customer pricing, supply of goods, or retention of input tax credit. As the tax rate on those services had not been reduced and no passing on of a tax benefit was established, no profiteering was found and the proceedings were dropped. en-us Mon, 31 Jul 2023 00:00:00 +0530 Fri, 18 Apr 2025 16:05:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=441123 Anti-profiteering under Section 171 of the CGST Act was held inapplicable to royalty and advertisement charges in a franchisee-franchisor model where franchisees independently operated outlets, fixed sale prices, and bore operating costs. The franchisor merely collected contractually agreed royalty and advertisement fees on net sales, with no shown control over customer pricing, supply of goods, or retention of input tax credit. As the tax rate on those services had not been reduced and no passing on of a tax benefit was established, no profiteering was found and the proceedings were dropped. Case-Laws GST Mon, 31 Jul 2023 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=441123