Indian Domino’s Pizza Operator Hit with Penalty for Profiteering (1)

Domino’s Pizza’s Indian operator has been hit with $5.8 million penalty for not cutting prices in line with lower tax rates.

The National Anti-Profiteering Authority said in a ruling released Feb. 4 that Jubilant FoodWorks Ltd., which operates Domino’s Pizza and Dunkin’ Donuts in India, financially profiteered by not lowering the prices of medium-sized vegetarian pizza and garlic bread after a tax cut. The government in November 2017 had reduced the goods and services tax on restaurants to 5 percent from 18 percent.

The authority asked Jubilant to deposit 414 million rupees ($5.8 million) in ...