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DRC-03 payment cash or credit ledger set-off??

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Sivaramaraju G

Learner

1307 Points Posted on 22 January 2020

Dear all,

For the FY 17-18, if taxable sales as per books are more than GSTRs filed during that year, excess liability arises due to difference between accounts and GSTRs, shall I pay the GST now through DRC 03 only by way cash or can I set off with credit ledger balances??

Replies (3)

Quick Summary

This discussion addresses how to pay excess GST liability for FY 17-18 when taxable sales in books exceed GSTR filings. The core question is whether this payment via DRC-03 can be made using the cash ledger or by setting off against the credit ledger. While DRC-03 technically allows credit ledger use, CBIC clarifications suggest payment for such discrepancies should be made via the cash ledger.

Sandeep

Practice

103 Points Posted on 22 January 2020

If you have sufficient amount then you can also set off the liability from credit ledger as well.

Sivaramaraju G

Learner

1307 Points Posted on 22 January 2020

Thank you for your answer

Nitesh Jain

Accounts Manager

22 Points Posted on 13 June 2020

It is clarified by CBIC that payment shall be via cash ledger although DRC 03 allows using credit ledger even when you choose GSTR-9 as a reason for payment.

https://www.consultease.com/question/gstr-9-2/#.XuS8wEX7TIV