Gujarat HC says AI Cannot Substitute Legal Verification in GST Adjudication

The State Tax Officer's order was found to rely exclusively on AI-generated case laws, including judgments that did not exist or were irrelevant to the issue. 

The High Court set aside the cancellation and related orders and directed fresh proceedings, while requiring the taxpayer's defence to be duly considered. 

More significantly, the Court incorporated Gujarat State Tax Department's new instructions requiring independent verification of every AI-generated authority, confirmation of its relevance and current legal status, human oversight and independent application of mind by the adjudicating officer.