134 IN THE HIGH COURT OF PUNJAB AND HARYANA AT CHANDIGARH CWP-16184-2026 (O&M) Date of Decision:7th July, 2026. M/S VISOKA FIXINGS & FASTENERS .…...Petitioner(s) V/s STATE OF PUNJAB AND OTHERS ......Respondent(s) CORAM: HON'BLE THE ACTING CHIEF JUSTICE HON'BLE MR. JUSTICE ROHIT KAPOOR Present Ms. Geetika Sharma, Advocate for the petitioner. Mr. Saurabh Kapoor, Addl. A.G., Punjab. **** ASHWANI KUMAR MISHRA, A.C.J. (Oral) 1. This petition is directed against order dated 13.02.2026 (Annexure P-10) rejecting the petitioner’s claim for refund. 2. It transpires that on a claim instituted by the petitioner for refund, a show cause notice was issued on 25.08.2025, pointing out the deficiency in the claim instituted for the purpose. This notice dated 25.08.2025 was responded to by the petitioner, by submitting a reply dated 05.09.2025 whereby detailed reasons have been given explaining the shortcomings noticed in the show cause notice. It is thereafter that the impugned order has been passed, rejecting the claim in which the only reason specified towards rejection is ‘as per show cause notice’. 3. Learned counsel for the petitioner states that once show cause notice dated 25.08.2025 was duly replied to by the petitioner, then the authorities ought to have taken note of the explanation furnished by it to SURESH KUMAR 2026.07.09 17:18 I attest to the accuracy and integrity of this document CWP-16184-2026 (O&M) the said notice and thereafter, an appropriate order in respect of the claim for refund ought to have been passed. Since such reasons are found lacking, therefore, the order impugned is alleged to be violative of principles of natural justice. 4. Learned counsel for the respondent-revenue does not dispute the fact that the explanation furnished in the reply to the show cause notice has not been dealt with on merits. The only argument advanced by him is that the petitioner has the remedy of filing of an appeal under the statute. 5. Though, the remedy of appeal is available to the petitioner, but in the facts of the present case, we do not find such remedy to be effective or efficacious, inasmuch as the explanation submitted by the petitioner in response to the show cause notice since has not been adverted to or dealt with, no useful purpose would be served in relegating the petitioner to avail the remedy of filing an appeal. 6. The issuance of a show cause notice is not an empty formality. The object is to confront the assessee with the short comings as identified by the authorities. Once a detailed reply to such short comings in the show cause notice is furnished, the competent authority is expected to examine such explanation of the assessee before passing the order of rejection. A routine rejection of such claim, without adverting to the explanation furnished by the assessee, would not indicate application of mind on part of the competent authority to the issues raised, and therefore, the impugned order of rejection cannot be sustained. SURESH KUMAR 2026.07.09 17:18 I attest to the accuracy and integrity of this document CWP-16184-2026 (O&M) 7. Consequently, this writ petition succeeds and is allowed. Order dated 13.02.2026, rejecting the petitioner’s claim for refund, is set aside. The matter is remitted to the competent authority for passing a fresh, reasoned order after duly considering the petitioner’s explanation furnished in response to the show cause notice. An opportunity of personal hearing shall also be afforded to the petitioner before the order is passed afresh. 8. Pending application, if any, is disposed of accordingly. [ASHWANI KUMAR MISHRA] ACTING CHIEF JUSTICE [ROHIT KAPOOR] JUDGE July 7, 2026 Ess Kay Whether speaking / reasoned : Yes / No Whether Reportable : Yes / No SURESH KUMAR 2026.07.09 17:18 I attest to the accuracy and integrity of this document