M/s NEW KING PLUS INDUSTRIES
Vs.
UNION TERRITORY OF J&K & ORS.
WP(C) 25/2025 & CM 56/2025
DATED: FEBURARY 7th , 2025
HIGH COURT: J&K , LADAKH
Facts: The Petitioner has challenged the appellate order upholding the order of lower authority cancelling the GST registration of the Petitioner and the show cause notice served on the grounds that it only quotes Rule 21(b) of the CGST Rules and does not provide any material particulars of the violations so as to respond. Despite notice was lacking material particulars the Petitioner in its own wisdom submitted the reply.
The assessing without considering the reply filed by the Petitioner passed the order of cancellation without disclosing any reasons therein. against which, the Petitioner filed an appeal before the Appellate Authority which came to be dismissed.
Respondents contended that the Petitioner was aware of the details of the violations and were clearly reflected in the demand notice which was served upon the Petitioner online and the Petitioner never objected to the show cause notice nor did he ask for any further details and material.
ISSUE: Whether the show cause notice , order confirming cancellation of registration and subsequent appellate order without providing any material particulars of violation and considering the Petitioner’s response are valid ?
HELD:
Held that the entire proceedings taken pursuant to the show cause notice are not sustainable as mere mention of the provision of law which as per the Assessing Authority stands violated is not enough , it is incumbent upon the authorities to indicate the details or material particulars of such violations.
Observed that the Assessing Authority was to consider and dispose of the Petitioner response with explanation by giving reasons. The Assessing Authority has by a single line cancelled the registration by merely saying that it has examined the reply to the show cause notice without even showing further whether on examination the Authority has found the reply satisfactory or not. Such cryptic order cannot take away the registration of the Petitioner. Moreover, the Appellate Authority also has not appreciated all these aspects of the case.
Quashed the show cause notice and the consequent orders.
Provided liberty to the Assessing Authority to issue a fresh notice and proceed in the matter in accordance with law.
To read more about this Judgement, subscribe today: https://taxo.online/product/taxo-pro/
Already a subscriber, Click to LOGIN & refer to the TAXO GST CASE LAWS
Or
Call us:- +91 99101 67919, 99996 93426
