M/S King Enterprises vs Commissioner Of Commercial Taxes
2026 Latest Caselaw 2890 Kant

Karnataka High Court

M/S King Enterprises vs Commissioner Of Commercial Taxes on 2 April, 2026

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                                                            NC: 2026:KHC-D:4993
                                                        WP No. 101468 of 2026


                       HC-KAR




                      IN THE HIGH COURT OF KARNATAKA, AT DHARWAD
                           DATED THIS THE 2ND DAY OF APRIL, 2026
                                            BEFORE
                                THE HON'BLE MS. JUSTICE JYOTI M
                        WRIT PETITION NO. 101468 OF 2026 (T-RES)

                      BETWEEN:

                      M/S. KING ENTERPRISES,
                      NO. 87-88, BELUR INDUSTRIAL AREA,
                      DHARWAD-580 008, REP. BY ITS PROP.,
                      MOHAMMED KHAN S/O BUDAN SAHEB,
                      AGE. 57 YEARS, OCC. BUSINESS,
                      R/O. NO. 5/3, MKK MANNAT,
                      3RD CROSS, JC NAGAR,
                      BENGALURU-560 006.
                                                                   ... PETITIONER
                      (BY SRI. R.M. JAVED, ADVOCATE)

                      AND:

                      1.   COMMISSIONER OF COMMERCIAL TAXES,
                           VANIJYA THERIGE KARYALAYA,
                           GANDHI NAGAR, KALIDAS ROAD,
Digitally signed by
CHANDRASHEKAR
                           BENGALURU-560 009.
LAXMAN
KATTIMANI
Location: HIGH
COURT OF
KARNATAKA
                      2.   JOINT COMMISSIONER OF COMMERCIAL TAXES,
                           (APPEAL) DHARWAD DIVISION, NAVANAGAR,
                           HUBLI-580 025, DHARWAD DISTRICT.

                      3.  ASSISTANT COMMISSIONER
                          OF COMMERCIAL TAXES, LGSTO-310,
                          #310, DC COMPOUND, CIRCUIT HOUSE ROAD,
                          DHARWAD-580 001.
                                                               ... RESPONDENTS
                      (BY SMT. NANDINI.B.SOMAPUR, AGA FOR R1 TO R3)
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                                              NC: 2026:KHC-D:4993
                                         WP No. 101468 of 2026


HC-KAR




     THIS WRIT PETITION IS FILED UNDER ARTICLES 226 AND
227 OF THE CONSTITUTION OF INDIA, SEEKING CERTAIN
RELIEFS.

    THIS WRIT PETITION IS LISTED FOR PRELIMINARY
HEARING, THIS DAY, AN ORDER IS MADE AS UNDER:

                          ORAL ORDER

Sri.R.M.Javed., counsel for the petitioner and Smt.Nandini

B.Somapur., AGA for respondents 1 to 3 have appeared in

person.

2. The petition is filed seeking following reliefs:

"a) To issue a Writ in the nature of Certiorari, quashing the Order passed by Respondent No.3 in Ref.No.ZA291025292512J Dated 28.10.2025 (Annexure-B) which cancelled the GST registration certificate of petitioner and

b) To issue a writ in the nature of certiorari, quashing the Order passed by Respondent No.2 in Appeal No.APL/GST/344/2025-26 Dated 22.12.2025, (Annexure-C) which confirmed the order passed by the Respondent No.3 and

c) Pass any other direction or writ which deem fit in the circumstances of the case, in the interest of justice."

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HC-KAR

3. Counsel for the respective parties urged several

contentions. Heard the arguments and perused the papers with

care.

4. The petitioner has approached this Court seeking

quashing of the order of cancellation of GST registration dated

28.10.2025 (Annexure-B) and the confirmation order dated

22.12.2025 (Annexure-C), primarily on the ground that the

show cause notice issued is not in consonance with the

prescribed format under FORM GST REG-17 and does not

disclose any reasons.

5. Counsel for the petitioner submits that the impugned

show cause notice merely states that there is a violation of

Section 29(2)(e), namely that the registration has been obtained

by means of fraud, without furnishing any particulars or material

details. It is contended that absence of reasons in the show

cause notice vitiates the entire proceedings, including the

cancellation order and the confirmation thereof.

6. Per contra, Additional Government Advocate justifies

the action of the respondents in issuing the show cause notice

NC: 2026:KHC-D:4993

HC-KAR

and passing the impugned orders. It is submitted that the

petitioner had obtained registration by fraudulent means and,

therefore, the proceedings initiated are valid. It is further

contended that the writ petition is devoid of merit and liable to

be dismissed.

7. This Court has perused the material on record,

including the show cause notice purportedly issued in FORM GST

REG-17. Upon such perusal, it is evident that the show cause

notice is not in conformity with the prescribed format. More

importantly, except making a bald allegation of violation under

Section 29(2)(e), i.e., that registration has been obtained by

fraud, no reasons or supporting particulars are furnished.

It is a settled principle of law that a show cause notice

must contain sufficient details enabling the notice to effectively

respond. In the absence of reasons and material particulars, the

notice is rendered vague and unsustainable. Consequently, any

order passed pursuant to such defective notice cannot be

sustained in law.

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HC-KAR

In view of the above, the impugned order of cancellation of

registration dated 28.10.2025 (Annexure-B) and the

confirmation order dated 22.12.2025 (Annexure-C) are liable to

be quashed.

8. Accordingly, a writ of certiorari is issued. The

impugned orders dated 28.10.2025 (Annexure-B) and

22.12.2025 (Annexure-C) are hereby quashed. The respondent-

authority is directed to restore the GST registration of the

petitioner within a period of ten (10) days from the receipt of a

copy of this order.

9. With the above observations and directions, the writ

petition stands allowed.

Sd/-

(JYOTI M) JUDGE MRP LIST NO.: 1 SL NO.: 3