Allahabad HC Quashes GST Section 74 Order Based Solely on Electricity Consumption

The Allahabad High Court quashed a GST Section 74 order that alleged suppressed purchase and sale, based solely on electricity consumption data. The court found that electricity usage alone cannot be a definitive indicator of business activity or tax liability. This ruling underscores the necessity for concrete evidence and comprehensive investigations before imposing tax demands, protecting businesses from arbitrary assessments and reinforcing the principle of fairness in tax administration.