PS Enterprises Vs Commissioner (Punjab and Haryana High Court)
Summary: The Punjab and Haryana High Court considered a writ petition challenging cancellation of the petitioner’s GST registration. The registration had been cancelled vide order dated 29.04.2026 (Annexure P-2) with retrospective effect from 27.10.2023. The Show Cause Notice (SCN) for cancellation of registration was issued on 14.05.2026 (Annexure P-3).
The petitioner challenged the cancellation primarily on the ground that the SCN pursuant to which the impugned order was passed did not make any reference to retrospective cancellation. Learned counsel for the petitioner relied upon the Division Bench judgment of the Court in M/s Bansal Casting, S.K. Enterprises vs. Union of India and Another and M/s Shree Ram Industries vs. State of Haryana and Another; 2026:PHHC:027747-DB, submitting that in such circumstances the impugned order could not be sustained.
Learned counsel for the revenue did not dispute either the facts of the case or the law laid down by the Co-ordinate Bench of the Court in M/s Bansal Casting, S.K. Enterprises.
The Court observed that the controversy raised in the petition was covered by the adjudication in M/s Bansal Casting, S.K. Enterprises. Accordingly, the impugned order dated 29.04.2026 and the SCN dated 14.05.2026 were ordered to be quashed. The writ petition was disposed of in terms of the law laid down in M/s Bansal Casting, S.K. Enterprises. However, liberty was reserved to the respondents to issue a fresh SCN and proceed further in accordance with law.
The pending application, if any, was also disposed of accordingly.
The issue concerning retrospective cancellation of GST registration beyond the scope of the SCN has also been considered in TaxGuru’s publication retrospective GST registration cancellation.
FULL TEXT OF THE JUDGMENT/ORDER OF PUNJAB AND HARYANA HIGH COURT
1. The petitioner’s GST registration has been cancelled vide order dated 29.04.2026 (Annexure P-2) with retrospective effect from 27.10.2023. Show Cause Notice (SCN) for cancellation of registration was issued to the petitioner on 14.05.2026 (Annexure P-3). The said cancellation of GST registration is challenged by way of this writ petition primarily on the ground that the SCN issued, pursuant to which impugned order was passed, does not make reference to any retrospective cancellation.
2. Learned counsel for the petitioner has placed reliance upon the Division Bench judgment of this Court in M/s Bansal Casting, S.K. Enterprises vs. Union of India and Another and M/s Shree Ram Industries vs. State of Haryana and Another; 2026:PHHC:027747-DB to submit that in such circumstances, the impugned order cannot be sustained.
3. Learned counsel for the revenue does not dispute either the facts of the present case or the law laid down by the Co-ordinate Bench of this Court in M/s Bansal Casting, S.K. Enterprises (Supra).
4. Since, the controversy raised in the present petition is covered by the adjudication in M/s Bansal Casting, S.K. Enterprises (Supra), the impugned order dated 29.04.2026 (Annexure P-2) and SCN dated 14.05.2026 are ordered to be quashed and the writ petition stands disposed of in terms of the law laid down in M/s Bansal Casting, S.K. Enterprises (Supra). However, liberty stands reserved to the respondents to issue a fresh SCN and proceed further in accordance with law.
5. Pending application, if any, stands disposed of accordingly.
