CONSUMER FORUM: Apparel store told to pay over Rs 2,000 as compensation

The District Consumer Disputes Redressal Forum directed an apparel store to give a resident of Mohali compensation of Rs 2,000 for deficiency in service on Monday. The forum also asked the store — Aurelia Women’s Wear, Sector 17 — to refund the excess charged VAT of Rs 39.96 to the complainant Nipun Ansal, along with Rs 1,000 as cost of litigation.

Nipun stated in the complaint that he visited the outlet in July 2016 and purchased a product at a 20 per cent discount on the maximum retail price (MRP). He purchased a garment (ladies kurta), with an MRP of Rs 999 from the shop. The shop demanded an amount of Rs 839 from Nipun, which included Rs 39.96 as VAT. He allegedly objected to the charging of extra VAT, as the cost of the garment was inclusive of all taxes and VAT had already been added to the said cost, but the employees of the shop did not agree. Nipun stated that the shop-owner had adopted an unfair trade practice by charging him extra VAT.

The forum sent a notice to the shop-owner but no one appeared and ex-parte proceedings were initiated against the apparel store.

Pronouncing the orders, the forum said, “We are of the considered opinion that no one can charge more than the MRP and MRP includes all taxes including VAT/other taxes. Importantly, when MRP is including all taxes then VAT/other taxes cannot be charged separately.”

[Source:-The Indian Express]