Karan opened the GST portal one morning to file GSTR-1. A red badge: "You have a new notice — ASMT-10 (Scrutiny of returns)." His mind went to penalty + jail. His CA opened it: a ₹8,200 ITC mismatch. Fixable in one reply.
Most GST notices are routine. The trick is reading them properly.
- The form name tells you the type: ASMT-10 (scrutiny) · DRC-01 (demand) · REG-17 (suo-moto cancellation) · RFD-08 (refund show-cause).
- Login → Services → User Services → View Additional Notices. Don't ignore.
- Compare your records vs the alleged discrepancy. Most are auto-flagged via GSTR-2A/2B vs 3B.
- Reply on portal with supporting docs. If you owe — pay via DRC-03, attach receipt.
The notice ID is the decode key
ASMT-10
Scrutiny (most common)
Discrepancy found between GSTR-1/3B/2B. Respond via ASMT-11 in 30 days. Mostly auto-generated.
DRC-01
Demand show-cause
Officer believes you owe X. Respond via DRC-06 in 30 days. Pay via DRC-03 if you agree.
REG-17
Suo-moto cancellation
Officer threatening to cancel your GSTIN. Respond in 7 days with reason why not. File pending returns + late fees.
The 6-step response flow
Services → User Services → View Additional Notices and Orders. Note form, period, deadline, reference ID.
Notice spells out the discrepancy and the amount. ASMT-10 often quotes specific Tables of 3B vs 2B.
GSTR-1, 3B, 2B for the period in question. Cross-check the officer's numbers against yours.
Agree (pay) · Partial (pay correct + explain rest) · Disagree (point-by-point reply with docs).
Generate DRC-03 challan from the notice screen. Pay. Attach receipt to your reply.
Right form (ASMT-11 / DRC-06 / etc.) with all attachments. Within deadline. ARN issued.
Top 5 GST notice triggers
1. GSTR-3B ITC > GSTR-2B available → officer auto-questions excess.
2. GSTR-3B outward < GSTR-1 outward → "you under-reported".
3. E-way bill turnover > GSTR-1 turnover → "missed invoices".
4. Long-standing nil filer suddenly high turnover → audit flag.
5. Vendor cancelled GSTIN; you claimed ITC on their invoice → reversal demand.
Karan's actual mismatch — and the fix
Notice said: "ITC claimed in GSTR-3B exceeds GSTR-2B by ₹8,200 for FY 23-24."
Karan's check: a vendor had filed late. Invoice landed in next month's 2B, but Karan had already claimed in the original month. Net effect: zero excess — just timing.
Reply via ASMT-11: "Annexure A: invoice details. Vendor filed in subsequent month. Net ITC claimed = ITC available across both months. Attached: 2B extracts for both months."
Closed in 14 days. No payment needed.
9 in 10 GST notices today are automated. They're saying "your numbers don't add up — show us how they do". Reply factually with docs. Stop assuming the worst.
Quick answers
Officer can pass adverse order. File appeal under Section 107 within 3 months (10% pre-deposit of disputed tax). Costly route — always respond on time.
Most proceedings are faceless / online. Personal appearance only if specifically called (rare for routine matters).
No. DRC-03 is a separate "voluntary payment" route. Outside normal return flow. Used specifically to settle notice demands or proactive disclosures.
Yes — 3 years (5 if fraud) from the due date of annual return. Beyond that, time-barred.
Officer can disallow if vendor didn't pay GST. You can argue good faith (genuine purchase, paid via banking, vendor was active at purchase date). Pull e-way bills, bank statements, invoice copies as proof.
When you might want help
Routine ASMT-10 with simple reconciliation is DIY. Where help pays off: DRC-01 with large alleged demand, vendor-ITC disallowance cases (need to argue good-faith), and suo-moto cancellation defence (you need to show pending returns + revocation pathway).
Got a GST notice?
WhatsApp us the PDF. We'll respond within a working day with the line-by-line strategy.