Fictitious MRP practice continues
For everyone’s reference I am sharing the label of the product which displays MRP of 9999
This is called fictitious MRP designed by the manufacturer so the retailer or dealers can profiteer and loot the consumer.
If legal metrology dept doesnt take action on this I dont know who can.
The manufacturer is based in gurugram so haryana controllers must act asap. more
(b)Before GST there was Central Excise Duty in which there was a provision of Taxing Central Excise Duty on MRP value (allowing abatement for actual expenditure after the factory gate). I think now, in GST is calculated on sales price and this is benefitted only to sellers. Why this practice is changed is better known to GST counsel.
2 (a)There are two categories in GST, one exempted products and exempted manufacturers/service providers on the basis of their annual turnover. In both these categories there is no control of GST Department (as per my knowledge). In such a situation, MRP is printed as per requirement of seller and nothing to do with the GST/tax as they are exempted from tax. This is loophole where black money is generated, and Govt has done nothing about it.
(b) On the other hand, these exempted unit never show their actual turn over in order to remain under exemption limit.
3 The existence of Weights, Measures / Enforcement Department either state or central is never felt in last 40 years in India. more
quantity/specs. There is no effective law in place to check
such mal-practices in vogue for the last 50 years. All
consumables/eatables, hardware/electrical items of domestic
use, medicines, medical accessories are covered by this
menace. The Consumer Affairs Minister should take the
initiative of enacting suitable laws to provide severe punishment to the wrong doers within 3 months to protect
the interest of consumers. more