Allowed¶34

Kashish Gupta v. Union of India and Others

Cancellation of GST registration – Defective show cause notice

Punjab & Haryana HC10 Apr 2026CWP/10483/2026

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Case brief

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What is this about?

Punjab & Haryana High Court, CWP-10483-2026, decided 10.04.2026 (Deepak Sibal and Lapita Banerji, JJ.): writ petition allowed; show cause notice dated 23.03.2026 for cancellation of GST registration set aside for want of particulars and supporting documents; held to violate principles of natural justice; liberty granted to proceed afresh in accordance with law; grounds involved Rule 21(e) and section 16 of the Act (ITC from firms after their cancellation); registration had been suspended from 01/03/2026.

What did the court decide?

Impugned show cause notice dated 23.03.2026 set aside; liberty granted to the respondents to proceed against the petitioner for cancellation of his GST registration in accordance with law. ¶34

Kashish Gupta Vs Union of India and Others — Punjab & Haryana HC (2026) — LawSathi Research

What the court decided

AI extract

Outcome

Impugned show cause notice dated 23.03.2026 set aside; liberty granted to the respondents to proceed against the petitioner for cancellation of his GST registration in accordance with law.

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Issue for consideration

Whether the show cause notice dated 23.03.2026 for cancellation of the petitioner's GST registration, which contained no facts or details supporting the proposed cancellation and no attached supportive documents despite claiming them, is sustainable or violates the principles of natural justice.

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Court's answer

The impugned show cause notice does not contain any details on the basis whereof the petitioner's GST registration is sought to be cancelled; apart from reference to certain provisions of law, no facts are found mentioned therein.

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Ratio / Principle

Though the show cause notice stated that supportive documents were attached, admittedly no document was attached to it.

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Key takeaways

The impugned show cause notice violates the principles of natural justice and does not serve the object behind its issuance.ratio¶33
The impugned show cause notice dated 23.03.2026 is set aside.ratio¶33
Liberty is granted to the respondents to proceed against the petitioner for cancellation of his GST registration, in accordance with law.ratio

Detailed headnote1 paragraphs

Cancellation of GST registration — Defective show cause notice — Natural justice. The Court set aside a show cause notice dated 23.03.2026 proposing cancellation of the petitioner's GST registration (ground: Rule 21(e) — ITC received from various firms after their cancellation, in alleged violation of section 16 of the Act; registration suspended w.e.f. 01/03/2026) because the notice contained no facts or details supporting the proposed cancellation and, though it claimed supportive documents were attached, none were attached. The Court held that such a notice violates the principles of natural justice and does not serve the object behind its issuance, while granting the respondents liberty to proceed against the petitioner for cancellation of his GST registration in accordance with law. Petition allowed (Deepak Sibal, J., for the Bench; Lapita Banerji, J.).

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IN THE HIGH COURT OF PUNJAB & HARYANA AT CHANDIGARH

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Sr. No. 172

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CWP-10483-2026

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Date of decision : 10.04.2026

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Kashish Gupta .…. Petitioner

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Versus

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Union of India and others ..... Respondents

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CORAM : HON'BLE MR. JUSTICE DEEPAK SIBAL HON'BLE MS. JUSTICE LAPITA BANERJI

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Present : Mr. Gurkiran Singh, Advocate, for the petitioner.

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Mr. Ajay Kalra, Senior Standing Counsel-UOI.

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DEEPAK SIBAL, J . (Oral)

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Through this petition, the petitioner challenges show cause notice dated 23.03.2026, served upon the petitioner for cancellation of his GST registration.

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Learned counsel for the parties have been heard and with their able assistance the record of the case has also been perused.

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The impugned show cause notice dated 23.03.2026 is reproduced

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below for ready reference:-

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“Reference No.: ZA030326034738K Date: 23/03/2026 To

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Registration Number (GSTIN/UIN): 03ANAPG3705F1ZS KASHISH GUPTA

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OLD FACTORY ROAD, NEAR SANTOSHI MATA MANDIR, KOTKAPURA, Faridkot, Punjab, 151204

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Show Cause Notice for Cancellation of Registration

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Whereas on the basis of information which has come to my notice, it appears that your registration is liable to be cancelled for the following reasons:

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1. Rule 21(e)–person avails ITC in violation of the provisions of section 16 of the Act or the rules made thereunder

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Remarks:

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ITC received from various firms after their cancellation.

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You are hereby directed to furnish a reply to the notice within seven working days from the date of service of this notice.

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SHAMSHER SINGH 2026.04.19 10:05 I attest to the accuracy and integrity of this document Punjab and haryana high court, chandigarh

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CWP-10483-2026

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[ 2 ]

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If you fail to furnish a reply within the stipulated date or fail to appear for personal hearing on the appointed date and time, the case will be decided ex parte on the basis of available records and on merits.

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Please note that your registration stands suspended with effect from 01/03/2026 .

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Kindly refer the supportive document attached for case specific details.”

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A perusal of the impugned show cause notice reveals that the same does not contain any details on the basis whereof the petitioner’s GST registration is sought to be cancelled. Except reference to certain provisions of law, no facts are found mentioned therein. Though it finds mentioned therein that supportive documents are attached but admittedly, no document was attached to the afore quoted show cause notice.

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In the light of the above, we find that the impugned show cause notice violates the principles of natural justice and does not serve the object behind its issuance. Therefore, the impugned show cause notice dated 23.03.2026 is set aside. However, liberty is granted to the respondents to proceed against the petitioner for cancellation of his GST registration, in accordance with law.

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The petition is allowed in the above terms.

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[DEEPAK SIBAL] JUDGE

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10.04.2026 [LAPITA BANERJI] shamsher JUDGE Whether speaking/reasoned : Yes / No Whether reportable : Yes / No

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SHAMSHER SINGH 2026.04.19 10:05 I attest to the accuracy and integrity of this document Punjab and haryana high court, chandigarh

Kashish Gupta v. Union of India and Others

Case brief

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Kashish Gupta v. Union of India and Others

Case brief

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