Section 29 of the CGST Act, 2017--- Cancellation of Registration —Show Cause Notice —- The petitioner challenged the order canceling the registration on the ground that it does not disclose any reason or ground for proposing cancellation of its registration. The court observed that the impugned SCN failed to disclose any reason for the proposed action, and is incapable of eliciting a meaningful response from the petitioner. It is well settled that Show Cause Notices are not meant to be issued mechanically to comply with a formality; the same are issued to serve the principles of natural justice. The impugned SCN does not qualify to be considered as a Show Cause Notice at all. The submission that the concerned officer had no option but to choose from a drop down menu, is clearly not the answer to the challenge laid by the petitioner to the impugned SCN. The GST portal cannot be adopted to include further explanation as to the reasons for which the proposed action is contemplated. If the concerned authorities find that they are unable to communicate the allegations, by selecting the options as available on the electronic system; the concerned authorities may consider issuing a physical show cause notice.

Held that:- The Hon’ble High Court set aside the impugned SCN dated 06.10.2022 and, consequentially, the impugned order dated 21.10.2022.