Home Saaz- If adapting to unfair business practice
Home Saaz in Faridabad has announced discount sales @40% and has also written VAT extra. As one of the consumer was arguing with the cashier on 26th January 2018, I intervened and stated that no tax is chargeable even on discount sales as the discounted price is also inclusive of tax and hence it is revised MRP. However, the cashier kept on giving illogical statement and surprisingly he stated that you are still getting discount may not be 40% but reduced to the extent by tax amount. He stated that there is a notification to charge tax on discounted sales. But he could not produce the notification and promised to email the same to me for which I shared my email id. How Home Saaz has stated in their advertisement VAT extra when the regime of the VAT is already over more than six months back.
To the best of my knowledge, there is no such notification as the State Commission and National Commission has already adjudicated the matter and ordered no tax is chargeable on revised MRP arrived after announced discounts. In case any of the consumer has been charged GST on the discounted price, please email the same to me to enable me to take up with Govt. of Haryana to take up appropriate actions. The perspective buyers may also demand from the Home Saaz to provide the copy of the notification. more
To the best of my knowledge, there is no such notification as the State Commission and National Commission has already adjudicated the matter and ordered no tax is chargeable on revised MRP arrived after announced discounts. In case any of the consumer has been charged GST on the discounted price, please email the same to me to enable me to take up with Govt. of Haryana to take up appropriate actions. The perspective buyers may also demand from the Home Saaz to provide the copy of the notification. more
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Hotels are charging GST on Base price. After that they give discount. I wrote mail to different department, no body answered. more
Jan 30
MRP is the concept as per packaged commodity rules and has been mandated as inclusive of all taxes. Whereas on other items being sold in loose or shelf displayed just indicates the basic prices wherein the taxes are required to be charged extra unless it is displayed as inclusive of taxes. more
Jan 30
@Shri Ravinder Goyal Ji, Sir, I am well aware about non-existence of such notifications. In fact I am struggling with Department of Consumer Affairs to issue a notification about such illegal trade practices. I never believed that Home Saaz would also be adapting to illegal trade practices. National Commission has already adjudicated the matter terming it as unfair trade practices. I wanted to bring this matter to the notice of perspective consumers as well as if any of the consumer who has already purchased material on Home Saaz to share with me the bill. While the other consumer was arguing with the retailer, I only intervened and the consumer preferred not to purchase. In fact at that time there were some few other consumers who were planning to buy but shell down their plan to purchase because of the discussions and awareness at that time. In one way it is good and the image of even big brands like Home Saaz has been tarnished. I could still not get the copy of the bill from any buyer despite posting on facebook as well as twitter. more
Jan 29
The discount is on MRP that is inclusive of GST. Hence, the discounted MRP is inclusive of GST/CGST. Home Saaz is wrong to announce GST on discounted MRP. The discount is not on the base price which has not been announced by the manufacturer on the packaged commodity. Mr. S. K. Virmani is absolutely right. more
Jan 28
Confusing yet seems to be whether to consider price printed on the product or announced through a sticker (both cases do not have MRP printed) as MRP or not.
Buyer wants that it should be considered as MRP (inclusive of all taxes).
Seller argues however that price without mention of MRP cannot be considered as MRP and buyer should be happy that he is paying less GST on the discounted price (Home Saaz is offering 40% discount these days).
For example, on a product costing Rs.4000 the amount of GST at 12% would be Rs.480.
The discounted price at 40% amounts to Rs.2400 and the GST at 12% on this would be Rs.288. You save Rs. 192......
This point does need clarification. Hope you read this Mr Virmani, for you to take up the matter with authorities. more
Buyer wants that it should be considered as MRP (inclusive of all taxes).
Seller argues however that price without mention of MRP cannot be considered as MRP and buyer should be happy that he is paying less GST on the discounted price (Home Saaz is offering 40% discount these days).
For example, on a product costing Rs.4000 the amount of GST at 12% would be Rs.480.
The discounted price at 40% amounts to Rs.2400 and the GST at 12% on this would be Rs.288. You save Rs. 192......
This point does need clarification. Hope you read this Mr Virmani, for you to take up the matter with authorities. more
Feb 06
@Shishir Kant Ji, It is definitely a good habit of sustainable consumption. However, even where the need is there and there is any price offer that could be availed off. Home Saaz would also be adapting to unfair business practices, I never believed. Anyways I am planning to take up issue seriously with the appropriate authorities if it does not share the copy of notification within 24 hrs. Meanwhile I appeal all perspective buyers to be vigilant and seek copy of the notification at the time of purchase. It is your cooperation I will be able to take up issue appropriately. more
Jan 27
Thanks Virmani ji. Normally I avoid buying such controversial products unless it comes under the category of NEEDS. more
Jan 27
