How to respond to a GST notice (DRC-01, ASMT-10, GSTR-2B mismatch)

GST notices look scary but most are routine reconciliation requests, not allegations. Here are the three most common notices and exactly how to respond.

Step 1: Identify the notice type

DRC-01: pre-show-cause notice for tax demand. ASMT-10: scrutiny notice asking for clarification. GSTR-2A/2B mismatch: difference between ITC claimed and reflected. Each has a different response form.

Step 2: Note the deadline

Most notices have 7-30 day response windows. Missing the deadline = adverse adjudication. Calendar it the day you receive the notice.

Step 3: Pull supporting documents

Invoices, payment proofs, GSTR-1 / 3B copies for the period mentioned. Auditor's reconciliation if available. ITC ledger statements. Customer / supplier confirmations.

Step 4: Draft a response

Open with a 1-line summary of your position. Then a table mapping notice point → your evidence. End with the reconciliation if numbers match, or the specific reason if not. Polite, factual, no legalese.

Step 5: File via the GST portal

Reply to scrutiny on Form ASMT-11. Reply to DRC-01 on Form DRC-06. Upload supporting documents (PDFs). Submit with EVC/DSC.

Step 6: Engage a CA for substantial demands

Any tax demand above ₹50,000 — get a GST practitioner to review your response before filing. ₹2,000-₹5,000 fee saves multi-lakh adjudication risk.

Frequently asked questions

Should I pay the disputed amount under protest?

Yes if appeal is the only option. Pay 10% of disputed tax (cash + ITC) along with appeal filing. Refunded if you win.

Can I respond to a GST notice without a CA?

For simple reconciliation notices, yes. For tax demands above ₹50,000 or scrutiny on substantive issues, no — get help. The penalty for sloppy response is high.

What is the time limit for the department to issue a notice?

3 years from due date of annual return for normal cases. 5 years for fraud/wilful misstatement. After this period, no demand can be raised.