antiprofiteering

Antiprofiteering is a policy objective and set of enforcement tools aimed at preventing undue, excessive, or unfair profit-taking in the wake of public policy measures or market imbalances. It seeks to ensure that the benefits of policy actions—such as tax cuts, subsidies, price controls, or crisis-related relief—are passed on to consumers rather than captured as higher profits by producers, distributors, or retailers. The concept is most commonly discussed in consumer protection and tax policy contexts.

Policy tools include price controls or monitoring, requirements for price transparency and fair pricing, profit or markup limits, mandatory pass-through of tax or subsidy benefits, and investigations by designated authorities. Where applicable, complaint-based or market-based enforcement can lead to refunds, price reductions, or penalties. In India, antiprofiteering provisions are part of the GST regime, with the National Anti-Profiteering Authority empowered to examine allegations that benefits from rate reductions have not been passed on to consumers.

Critics argue that antiprofiteering systems can be difficult to design and enforce, risk distortions or reduced investment, and may be used for political purposes. Supporters contend that well-designed measures help protect consumers during economic shocks and ensure policy gains reach the public.

Related concepts include price gouging, profiteering, price controls, and consumer protection. The term is used variably across jurisdictions and is often part of broader anti-corruption or market-regulation frameworks.