alleryStart learning →A tax rate reduction must be passed on to buyers by:
APaying it to the Council
BLowering the supplier's margin
CCommensurate price reduction
DIssuing a refund to State
Answer & Solution
Correct answer: C. Commensurate price reduction
Section 171(1) requires the benefit of a rate cut or input tax credit to reach the recipient by commensurate price reduction.
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