Show Cause Notice
A notice requiring a person to explain why a proposed adverse action should not be taken against them.
In Simple Terms
An official letter asking you to explain yourself before the authority takes action against you.
Detailed Legal Meaning
A show cause notice sets out the allegations or proposed action (such as a tax demand, penalty, or cancellation of registration) and calls upon the recipient to submit their explanation or objections before a final order is passed — a procedural safeguard reflecting the audi alteram partem principle.
Relevant Acts & Sections
- Income-tax Act, 1961Search on India Code ↗
- Central Goods and Services Tax Act, 2017Search on India Code ↗