DRC-01 ISSUED TWICE FOR SAME SCN, Goods and Services Tax - GST

[Vinod jadhav]

Respected Sir/Madam,

I am seekiing your expert opinion regarding the issuance of two DRC-01 forms for the same Show Cause Notice (SCN), which was issued in connection with audit observations.

1. First DRC-01: Issued on 31.05.2024, covering a total liability of ₹1,42,52,000. This DRC-01 pertains solely to the financial year 2021-22, while liabilities for the financial years 2017-18, 2018-19, 2019-20, and 2020-21 were omitted.:

a. Reply has already been submitted against the DRC-01.

2. Second DRC-01: Issued on 28.08.2024, this revised DRC-01 reflects a total liability of ₹3,55,00,000 and covers the financial years 2017-18 through 2021-22

In this situation, Which DRC-01 should be considered for filling a reply because currently two SCN reflect in the GST portal.

Moreover, if the second DRC-01 is to be considered, the extended period for the financial year 2017-18 appears to be time-barred.

Are there any other points I should consider when preparing my reply?

I would appreciate your advice.

Posts / Replies

[VENU K]

Sec 73 (3) empowers the officer to issue a statement of demand " where notice has been issued for any period under sub-section 1, the proper officer may serve a statement, containing the details of .......................................for such periods other than those covered under sub section 1.

But if it is a statement of Demand issued under Sec 73(3) they need to issue DRC 02 and not another DRC 01.

[KASTURI SETHI]

Both DRC-01s have to be adjudicated. You should also file reply to second DRC-01. You should fight on merits as well as on time-bar issue.