No Obligation to pass ITC from Additional GST Input Tax Credit: CCI

The Competition Commission of India (CCI) clarified that businesses are not obligated to pass on the benefit of additional GST Input Tax Credit (ITC) to customers. This decision was prompted by concerns that companies were failing to reflect ITC benefits in their pricing. The CCI’s stance is that businesses are free to manage their ITC in line with their financial strategies. However, consumer groups remain wary, arguing that customers might not benefit from price reductions.