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Rule 128 of the CGST Rules, 2017

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GST›CGST Rules, 2017›Chapter XV, Anti-Profiteering

At a glance

Bars, duties and time limits

128(1)The Standing Committee examines the accuracy and adequacy of evidence in a written application from an interested party, Commissioner or other person to assess prima-facie support for an alleged failure to pass on tax or credit benefits.
128(1)–(2)Each stated examination period is two months from receipt. The Authority may allow no more than one further month, with reasons given in writing.

Procedure, powers and definitions

128(2)Applications on local issues and those forwarded by the Standing Committee first go to the State Screening Committee. If satisfied that section 171 has been contravened, it forwards the application and recommendations to the Standing Committee.
128The law does not settle the evidentiary threshold for prima-facie support or what makes an application an issue of local nature.

Rule 128 governs initial examination of anti-profiteering applications by the Standing Committee and State Screening Committees. It requires assessment of supporting evidence before further action and sets examination periods with limited extensions. Local matters first pass through the State Screening Committee. The procedure remains subject to the separate jurisdictional bar on accepting new examination requests from 1 April 2025.^[1]

Quick facts

Rule 128, CGST Rules, 2017

Examination of application by the Standing Committee and Screening Committee

Provision
Act	Central Goods and Services Tax Rules, 2017
Chapter	XV, Anti-Profiteering
Rule title	Examination of application by the Standing Committee and Screening Committee
Amendments
Last amendment	28 June 2019: Inserted vide Notification No. 31/2019 - CT dated 28.06.2019.
Amendments	1 footnote in the CBIC text (table)
Related provisions
Other rules	Rule 129
Sections	Section 171 of the CGST Act, 2017
Structure 128(1)Prima-facie support after Standing Committee examination 128(1)Standing Committee examination time 128(2)First State screening route 128(2)Screening recommendation referral 128(2)Screening Committee action time
Source
Law text	CBIC tax information portal, served on 17 September 2026^[1]

Text

The text below is the rule as served by the CBIC tax information portal on 17 September 2026, with the portal's own amendment footnote markers (shown as small numerals before a bracket) and its footnotes.^[1] The Rules as published in the Gazette of India is the legal source.

Rule 128, verbatim (show)

Rule 128. Examination of application by the Standing Committee and Screening Committee. -

(1) The Standing Committee shall, within a period of two months from the date of the receipt of a written application ¹[or within such extended period Not exceeding a further period of one month for reasons to be recorded in writing as may be allowed by the Authority,] in such form and manner as may be specified by it, from an interested party or from a Commissioner or any other person, examine the accuracy and adequacy of the evidence provided in the application to determine whether there is prima-facie evidence to support the claim of the applicant that the benefit of reduction in the rate of tax on any supply of goods or services or the benefit of input tax credit has Not been passed on to the recipient by way of commensurate reduction in prices.

(2) All applications from interested parties on issues of local nature ¹[or those forwarded by the Standing Committee] shall first be examined by the State level Screening Committee and the Screening Committee shall, ¹[within two months from the date of receipt of a written application, or within such extended period Not exceeding a further period of one month for reasons to be recorded in writing as may be allowed by the Authority,] upon being satisfied that the supplier has contravened the provisions of section 171, forward the application with its recommendations to the Standing Committee for further action.

1. Inserted vide Notification No. 31/2019 - CT dated 28.06.2019.

Questions to answer on the file

Questions a reviewer answers from the engagement file, grouped by the part of the rule they come from. They describe what the rule asks; they do not decide it.

Prima-facie support after Standing Committee examination 128(1)

Questions to answer on the file7 questions

Was a written application received?
From which stated applicant category did it come: interested party, Commissioner or any other person?
Does the application use the specified form?
Was the specified application manner followed?
Did the Standing Committee examine the accuracy of the evidence?
Did it examine the adequacy of the evidence?
Does the evidence prima facie support the alleged failure to pass the stated benefit by commensurate prices?

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Standing Committee examination time 128(1)

Questions to answer on the file7 questions

On what date did the Standing Committee receive this application?
What is the exact 2-calendar-month endpoint from that receipt?
On what date did the Standing Committee complete the examination?
Did the Authority allow the extension for this matter?
Were the extension reasons recorded in writing?
What endpoint did that actual extension authorize?
What is the endpoint of a further 1 calendar months after the ordinary period?

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First State screening route 128(2)

Questions to answer on the file4 questions

Was this application forwarded by the Standing Committee?
Is this application from an interested party?
Is the issue local in nature?
Did the State level Screening Committee examine the application first?

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Screening recommendation referral 128(2)

Questions to answer on the file3 questions

Was the Screening Committee satisfied that the supplier contravened section 171?
Did it forward the application to the Standing Committee?
Were its recommendations sent with the application?

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Screening Committee action time 128(2)

Questions to answer on the file7 questions

On what date did the State level Screening Committee receive this application?
What is the exact 2-calendar-month endpoint from that receipt?
On what date did the State level Screening Committee complete the forwarding with recommendations?
Did the Authority allow the extension for this matter?
Were the extension reasons recorded in writing?
What endpoint did that actual extension authorize?
What is the endpoint of a further 1 calendar months after the ordinary period?

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Amendment history

The CBIC text carries 1 footnote. The table gives each in the source's own terms. Effective dates are as the footnotes state them.^[1]

Amendments to Rule 128 as footnoted in the CBIC text
Note	Change
1	Inserted vide Notification No. 31/2019 - CT dated 28.06.2019.^[2]

Provisions connected to Rule 128
Provision	Connection	Words that tie them
Section 171 of the CGST Act, 2017	this provision requires Section 171 of the CGST Act, 2017	128(2) "provisions of section 171"

Circulars and notifications

Circulars and notifications in the CBIC repository that cite this rule, newest first, by number, date and subject. A listing here does not say what an instrument decides; read the instrument.

Notifications (2)

Number	Date	Subject
Notification No. 31/2019-Central Tax	28 June 2019	Seeks to carry out changes in the CGST Rules, 2017. amended by a later instrument
Notification No. 14/2018-Central Tax	23 March 2018	Amending the CGST Rules, 2017(Third Amendment Rules, 2018).

Unsettled questions

The words of Rule 128 do not answer these questions. Where one decides a matter on the file, the answer depends on the position taken on it.

What evidentiary threshold constitutes prima-facie support for the alleged non-passing of the tax-rate or input-credit benefit under Rule 128(1)?
What makes an anti-profiteering application an issue of local nature under Rule 128(2)?

See also

Section 171 of the CGST Act, 2017: anti-profiteering measure
Rule 129 of the CGST Rules, 2017: initiation and conduct of proceedings

References

Central Board of Indirect Taxes and Customs. "Rule 128. Examination of application by the Standing Committee and Screening Committee". Central Goods and Services Tax Rules, 2017, CBIC tax information portal, with amendment footnotes 1 to 1. Retrieved 17 September 2026.
Notification No. 31/2019-Central Tax, dated 28 June 2019: Seeks to carry out changes in the CGST Rules, 2017. Cited in CBIC footnote 1.

External links

CGST Rules, 2017, Rule 128 on the CBIC tax information portal