Back
IN THE HIGH COURT FOR THE STATE OF TELANGANA AT HYDERABAD
SUREPALLI NANDA, J SREENIVAS RAO, JJ.
M/s.Telangana Recycling Private Limited - Appellant
Versus
The State of Telangana - Respondent
Writ Petition No.15018 Of 2025
Decided On : 07-05-2025
JUDGMENT :
(Surepalli Nanda, J.)
Heard Sri B. Krishna Reddy, learned counsel appearing on behalf of the petitioner and the learned Special Government Pleader for State Tax appearing on behalf of the respondents.
2. The petitioner approached the Court seeking prayer as under:
“….to issue Writ of Mandamus or any other appropriate Writ or Order or Direction declaring the action of the 2nd Respondent in passing the impugned Order dated 17.04.2025 in Ref.No. ZA360425045250W for cancellation of registration certificate of the petitioner vide GSTIN: 36AALCT2319K2Z1 along with the show cause notice dated 29.03.2025, as illegal, arbitrary, high handed, contrary to the provisions of the CGST Act, 2017 and in violation of principles of natural justice and set aside the same as null and void, and pass such other order orders as the Hon'ble Court deem fit and proper in the circumstances of the Case.”
3. The case of the petitioner, in brief, is that respondent No.2 issued a show-cause notice dated 29.03.2025 to the petitioner, alleging that the commodities mentioned in the e-way bills did not match with the registrations and that the functioning of the petitioner was in contravention to the GST Act and Rules. However, the notice was vague and failed to specify precise grounds or charges alleged against the petitioner. Despite the vague show- cause notice and the absence of supportive documents, respondent No.2 issued a cancellation order dated 17.04.2025, cancelling the petitioner’s GST registration vide GSTIN: 36AALCT2319K2Z1 with retrospective effect from 29.12.2024, without assigning any valid reason or affording a proper reasonable opportunity to respond. Aggrieved by the same, the petitioner has filed the present writ petition.
4. PERUSED THE RECORD
A) The impugned Show cause Notice for cancellation of Registration dated 29.03.2025 is extracted hereunder:
“FORM GST REG-17 [See Rule 22(1)] Reference No.: ZA360325152465J | |
To | Date: 29/03/2025 |
Registration Number (GSTIN/UIN): 36AALCT2319K2Z1 TELANGANA RECYCLING PRIVATE LIMITED 1-8-505/C/13/1, PRAKASH NAGAR, BEGUMPET, Hyderabad, Hyderabad, Telangana, 500016 Show Cause Notice for Cancellation of Registration 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: 1. Others Remarks: In contraventions to the GST Act and Rules, Commodity mentioned in the Way bills are not matching with the registrations. You are hereby directed to furnish a reply to the notice within seven working days from the date of service of this notice. You are hereby directed to appear before the undersigned authority on 03/ 04/ 2025 at 13:00. 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. Please note that your registration stands suspended with effect from 29/ 03/ 2025. Kindly refer the supportive document attached for case specific details. Place: Telangana Date: 29/03/2025 IVVALA HEMALATHA Deputy State Tax Officer BEGUMPET-1 Signature Not Verified.” | |
B) The order impugned dated 17.04.2025 is extracted hereunder:
“FORM GST REG-19 [See rule 22(3)] Reference Number: ZA360425045250W Date: 17/04/2025 To Name: TELANGANA RECYCLING PRIVATE LIMITED Address: 1-8-505/C/13/1, PRAKASH NAGAR, BEGUMPET, Hyderabad, Hyderabad, Telangana, 500016 GSTIN/UIN: 36AALCT2319K2Z1 Application Reference Number (ARN): AA3603250507192 Date: Order for Cancellation of Registration This has reference to show cause notice issued dated 29/03/2025. Whereas no reply to the show cause notice has been submitted; and whereas, the undersigned based on record avallable with this office is of the opinion that your registration is liable to be cancelled for following reason(s): 1. Others Remarks: In contraventions to the GST Act and Rules, Commodity mentioned in the Way bills are not matching with the registrations. Reasonable opportunity given for 7 wo |
A show-cause notice must specify charges clearly to ensure fairness in quasi-judicial proceedings; vagueness renders the proceedings invalid.
A show cause notice must provide clear factual details to uphold natural justice; failure to do so invalidates subsequent cancellation orders.
Cancellation of GST registration must follow due process, including a clear show-cause notice and a reasoned order, to uphold the principles of natural justice.
A show-cause notice must contain specific allegations to enable the noticee to respond effectively, and orders must be informed by reason and not violate the principles of natural justice.
Vague show cause notices violate principles of natural justice, necessitating clear allegations to ensure due process in administrative actions.
GST registration cancellation quashed as arbitrary for ignoring proprietor's ill-health causing temporary business halt, issuing vague unreasoned show-cause notices, and passing mechanical orders wit....
The court underscored the necessity of adhering to principles of natural justice, requiring that administrative orders affecting rights must include clear reasoning and a fair opportunity for respons....
An indispensable Tool for Legal Professionals, Endorsed by Various High Court and Judicial Officers
Please visit our Training & Support
Center or Contact Us for assistance
Scan Me!
India’s Legal research and Law Firm App, Download now!
For Daily Legal Updates, Join us on :
Back to top
