Notice for Discrepancies in GST Returns – GST ASMT-10

These days a large number of taxpayers are getting GST Return Discrepancy notices in the form of GST ASMT-10. Through this article, I have tried summarising all about the relevant provisions related to this Form.

Form GST ASMT-10

• Form GST ASMT-10 is a Notice for intimating discrepancies in the return after scrutiny. [Section 61 & Rule 99]
• Proper Officer is required to quantify the amount of tax, interest, and any other amount payable in relation to such discrepancy if possible.
• Some of the common examples of discrepancies for which notice can be issued are:
  • Difference between the tax liability reported in GSTR- 1 & GSTR -3B
  • Difference between the ITC Claimed in GSTR- 3B & reflected in GSTR -2B/GSTR-2A
  • Difference between the tax liability as per E-Way Bill & GSTR -3B

The time period for providing Explanation on the discrepancies.

• The taxpayer is required to provide an explanation for such discrepancy within thirty days from the date of service of the notice.
• The additional period may be permitted by Proper Officer on request of the Taxpayer.

How to give a reply to Notice GST ASMT-10?

If you disagree with the Tax Liability and discrepancy:

A taxpayer may furnish an explanation for the discrepancy in FORM GST ASMT-11 to the proper officer.

If you agree with the Tax Liability and discrepancy:

A taxpayer may after paying the tax liability,  inform it to the proper officer by admitting the same in FORM GST ASMT-11.

What if the taxpayer is liable to pay tax in relation to a discrepancy in FORM GST ASMT-10?

The registered person may accept the discrepancy mentioned in the notice and pay the tax, interest, and any other amount arising from such discrepancy and inform to proper Officer for the same. Tax is a reference to the same should be paid via DRC-03.

What is Proper Officer is Satisfied with the Explanation of Taxpayer?

If Proper Officer is Satisfied with the Explanation of Taxpayer, he shall him accordingly in FORM GST ASMT-12.

What if Proper Officer is not satisfied with the Explanation of the Taxpayer?

If the proper officer is not satisfied with the Explanation of the Taxpayer he may initiate appropriate action including those under:

Section 65: Audit by tax authorities

Section 66: Special audit

Section 67: Inspection, search and seizure

Section 73: Determination of tax not paid or short paid or erroneously refunded or input tax credit wrongly availed or utilized for any reason other than fraud or any wilful misstatement or suppression of facts

Section 74: Determination of tax not paid or short paid or erroneously refunded or input tax credit wrongly availed or utilized by reason of fraud or any wilful-misstatement or suppression of facts.

What if Taxpayer has admitted his liability in Form FORM GST ASMT-10 and he fails to pay the same?

If the Taxpayer has admitted his liability in Form FORM GST ASMT-10 and he fails to pay the same, Proper Officer may initiate appropriate action including those under:

Section 65: Audit by tax authorities

Section 66: Special audit

Section 67: Inspection, search and seizure

Section 73: Determination of tax not paid or short paid or erroneously refunded or input tax credit wrongly availed or utilized for any reason other than fraud or any wilful misstatement or suppression of facts

Section 74: Determination of tax not paid or short paid or erroneously refunded or input tax credit wrongly availed or utilized by reason of fraud or any wilful-misstatement or suppression of facts.

How can I View Notice GST ASMT-10?

• Login to www.gst.gov.in
• Navigate to Dashboard
• Navigate to Services & User Services
• Click on View Additional Notices/Orders option.