Allahabad HC Examines GST Rate Dispute: 5% vs 12% on Works Contract Invoice

Nikhil Construction Vs State of U.P. And 2 Others (Allahabad High Court) The Allahabad High Court is set to hear a GST rate dispute involving Nikhil Construction on July 25, 2025. The core issue revolves around whether a 5% or 12% GST rate applies to work completed on June 27, 2022, but invoiced on March 10, 2025, when the rate was 12%. The petitioner argues that under Section 14(a)(i) of the U.P. Goods and Services Tax Act, 2017, the invoice date should determine the rate, compelling the respondents to pay the balance 7%. The court has directed the respondents to seek instructions on this mat...