Madras High Court Clarifies Invocation of Section 74 GST: Orders Fresh Adjudication Where Tax Liability Calculation Is Erroneous
The Madras High Court has held that authorities may invoke Section 74 of the GST enactments where records reveal short payment of tax, provided the statutory requirements are met. However, where tax liability is erroneously calculated due to misrecording exempted turnover, the matter must be remitted for fresh adjudication after affording the taxpayer an opportunity to respond.
