Payment made through DRC 03 after Inspection by SGST intelligence

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Shinoj Davis

112 Points Posted on 25 November 2023

Sir,

SGST intelligence unit inspected one firm and find some turnover mismatch for the fY 2022-23 and Instructed to pay the tax and penalty through DRC 03..

party paid the penalty this month through DRC 03...

where can I report these turnover, Payment and Penalty paid.. etc in the GSTR9 of FY 2022-23?.

Thanks & Regards
Shinoj Davis

Replies (2)

Quick Summary

This discussion addresses how to report tax and penalty payments made through DRC-03 following an SGST intelligence inspection for FY 2022-23. The advice provided suggests reporting these amounts in Table 4 of the GSTR-9 annual return. It also clarifies the process of concluding proceedings with DRC-03 payments and advises on how to handle situations where an SCN is issued despite prior payment.

Money Money

307 Points Posted on 27 November 2023

According to the web search results, GSTR-9 is an annual return that needs to be filed by every registered taxpayer under GST. It is a consolidation of data reported in GSTR-1 and GSTR-3 1. The due date for filing GSTR-9 for FY 2022-23 is December 31, 2023 12.

The following table provides a detailed analysis of the mandatory and optional tables in GSTR-9 for FY 2022-23 3:

Table No. Table Details Optional/Mandatory Additional Remarks
4 Details of advances, inward and outward supplies made during the year on which tax is payable Mandatory, if applicable to the Company -
You can report the turnover, payment, and penalty paid in Table 4 of GSTR-9 for FY 2022-23

Aashok Kumar Sharma

Finance/Compliance Consultant

75663 Points Posted on 08 November 2026

DRC-03 after an inspection:
• Paying tax with interest (and a 15% penalty for Sec 74 cases, or nil penalty for Sec 73 cases) via DRC-03 before an SCN is issued concludes the proceedings for that amount (Sec 73(6), 74(6) as applicable, and 74A for FY 2024-25 onwards). The officer issues DRC-04 (acknowledgement), and DRC-05 (concluding the proceedings) if fully paid.
• If the officer issues an SCN despite payment, reply citing the DRC-03 and request closure.
• Ensure the DRC-03 cause is selected correctly ("Inspection"/"Intelligence") and references the inspection.