{"id":9765,"date":"2025-12-21T20:21:32","date_gmt":"2025-12-21T20:21:32","guid":{"rendered":"https:\/\/www.caindelhiindia.com\/blog\/?p=9765"},"modified":"2025-12-21T20:22:48","modified_gmt":"2025-12-21T20:22:48","slug":"common-reasons-for-gst-notices-sending-compliance","status":"publish","type":"post","link":"https:\/\/www.caindelhiindia.com\/blog\/common-reasons-for-gst-notices-sending-compliance\/","title":{"rendered":"Common Reasons for GST Notices, Sending &#038; Compliance"},"content":{"rendered":"<h2><img loading=\"lazy\" decoding=\"async\" class=\"alignnone size-full wp-image-9766\" src=\"https:\/\/www.caindelhiindia.com\/blog\/wp-content\/uploads\/2025\/12\/gst-notice.jpeg\" alt=\"gst notice\" width=\"1080\" height=\"1350\" srcset=\"https:\/\/www.caindelhiindia.com\/blog\/wp-content\/uploads\/2025\/12\/gst-notice.jpeg 1080w, https:\/\/www.caindelhiindia.com\/blog\/wp-content\/uploads\/2025\/12\/gst-notice-240x300.jpeg 240w, https:\/\/www.caindelhiindia.com\/blog\/wp-content\/uploads\/2025\/12\/gst-notice-819x1024.jpeg 819w, https:\/\/www.caindelhiindia.com\/blog\/wp-content\/uploads\/2025\/12\/gst-notice-768x960.jpeg 768w, https:\/\/www.caindelhiindia.com\/blog\/wp-content\/uploads\/2025\/12\/gst-notice-800x1000.jpeg 800w\" sizes=\"(max-width: 1080px) 100vw, 1080px\" \/><\/h2>\n<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_58 counter-hierarchy ez-toc-counter ez-toc-grey ez-toc-container-direction\">\n<p class=\"ez-toc-title\">Table of Contents<\/p>\n<label for=\"ez-toc-cssicon-toggle-item-69dd029da9ff3\" class=\"ez-toc-cssicon-toggle-label\"><span class=\"\"><span class=\"eztoc-hide\" style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #999;color:#999\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #999;color:#999\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/span><\/label><input type=\"checkbox\"  id=\"ez-toc-cssicon-toggle-item-69dd029da9ff3\"  aria-label=\"Toggle\" \/><nav><ul class='ez-toc-list ez-toc-list-level-1 ' ><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/www.caindelhiindia.com\/blog\/common-reasons-for-gst-notices-sending-compliance\/#Common_Reasons_for_GST_Notices_Sending_Compliance\" title=\"Common Reasons for GST Notices, Sending &amp; Compliance\">Common Reasons for GST Notices, Sending &amp; Compliance<\/a><ul class='ez-toc-list-level-3'><li class='ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-2\" href=\"https:\/\/www.caindelhiindia.com\/blog\/common-reasons-for-gst-notices-sending-compliance\/#Common_Reasons_for_GST_Notices\" title=\"Common Reasons for GST Notices\">Common Reasons for GST Notices<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-3\" href=\"https:\/\/www.caindelhiindia.com\/blog\/common-reasons-for-gst-notices-sending-compliance\/#Mode_of_Sending_GST_Notices_Sec_1691_CGST_Act_2017\" title=\"Mode of Sending GST Notices (Sec. 169(1), CGST Act, 2017) : \">Mode of Sending GST Notices (Sec. 169(1), CGST Act, 2017) : <\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-4\" href=\"https:\/\/www.caindelhiindia.com\/blog\/common-reasons-for-gst-notices-sending-compliance\/#Situations_Where_SCN_is_Issued_Forms\" title=\"Situations Where SCN is Issued &amp; Forms\">Situations Where SCN is Issued &amp; Forms<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-5\" href=\"https:\/\/www.caindelhiindia.com\/blog\/common-reasons-for-gst-notices-sending-compliance\/#Types_of_Notices_Key_Details\" title=\"Types of Notices &amp; Key Details : \">Types of Notices &amp; Key Details : <\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-6\" href=\"https:\/\/www.caindelhiindia.com\/blog\/common-reasons-for-gst-notices-sending-compliance\/#GST_Notice_Compliance_Checklist\" title=\"GST Notice Compliance Checklist\">GST Notice Compliance Checklist<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-7\" href=\"https:\/\/www.caindelhiindia.com\/blog\/common-reasons-for-gst-notices-sending-compliance\/#Closing_the_Loop_on_GST_Notice_Compliance\" title=\"Closing the Loop on GST Notice Compliance\">Closing the Loop on GST Notice Compliance<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-8\" href=\"https:\/\/www.caindelhiindia.com\/blog\/common-reasons-for-gst-notices-sending-compliance\/#GST_Notice_Compliance\" title=\"GST Notice Compliance\">GST Notice Compliance<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-9\" href=\"https:\/\/www.caindelhiindia.com\/blog\/common-reasons-for-gst-notices-sending-compliance\/#Key_Sections_Their_Focus_GST_Notice_Compliance\" title=\"Key Sections &amp; Their Focus\u00a0GST Notice Compliance\">Key Sections &amp; Their Focus\u00a0GST Notice Compliance<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-10\" href=\"https:\/\/www.caindelhiindia.com\/blog\/common-reasons-for-gst-notices-sending-compliance\/#Comparison_of_Sections_73_74_76\" title=\"Comparison of Sections 73, 74 &amp; 76\">Comparison of Sections 73, 74 &amp; 76<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-11\" href=\"https:\/\/www.caindelhiindia.com\/blog\/common-reasons-for-gst-notices-sending-compliance\/#Penalty_Relief_Opportunities\" title=\"Penalty Relief Opportunities\">Penalty Relief Opportunities<\/a><\/li><\/ul><\/li><\/ul><\/nav><\/div>\n<h2><span class=\"ez-toc-section\" id=\"Common_Reasons_for_GST_Notices_Sending_Compliance\"><\/span><span style=\"color: #000080;\"><strong>Common Reasons for GST Notices, Sending &amp; Compliance<\/strong><\/span><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>GST notices are official communications issued by GST authorities for reasons such as non-filing of returns, discrepancies, ITC mismatches, or other compliance issues. They require timely responses to avoid penalties or adverse actions. GST is based on self-assessment and self-certification, requiring taxpayers to comply proactively. Notices under GST are official communications from authorities to seek compliance or clarify discrepancies. Failure to respond within the stipulated time can lead to penalties, prosecution, or cancellation of registration. GST notices are official communications from GST authorities under the CGST Act, issued for reasons such as Non-filing of returns, Discrepancies in returns, ITC mismatches, Short payment of tax, Registration issues. &amp; Timely response is crucial to avoid penalties, interest, or even cancellation of registration.<\/p>\n<h3><span class=\"ez-toc-section\" id=\"Common_Reasons_for_GST_Notices\"><\/span><span style=\"color: #000080;\"><strong>Common Reasons for GST Notices<\/strong><\/span><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<ul>\n<li>Failure to obtain GST registration when liable.<\/li>\n<li>Delay in filing GSTR-1 and GSTR-3B for more than six months.<\/li>\n<li>Mismatch between GSTR-1 &amp; GSTR-3B or with e-way bill data.<\/li>\n<li>Excess ITC claims or refund claims (with or without intent to defraud).<\/li>\n<li>Non-payment or short payment of GST.<\/li>\n<li>Anti-profiteering violations (not reducing prices after GST rate cuts).<\/li>\n<li>Non-submission of information returns.<\/li>\n<\/ul>\n<h3><span class=\"ez-toc-section\" id=\"Mode_of_Sending_GST_Notices_Sec_1691_CGST_Act_2017\"><\/span><span style=\"color: #000080;\"><strong>Mode of Sending GST Notices (Sec. 169(1), CGST Act, 2017) : <\/strong><\/span><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p><strong>\u00a0<\/strong>GST notices may be communicated to the taxpayer through the following lawful channels:<\/p>\n<ul>\n<li>Hand Delivery: Directly to the taxpayer or via a messenger, including courier. &amp; Can be delivered to a representative (manager, advocate, family member, etc.).<\/li>\n<li>Registered Post \/ Speed Post \/ Courier: Sent with acknowledgement due to the last known business address of the taxpayer.<\/li>\n<li>Email Communication: Sent to the email address provided at the time of registration, as updated from time to time.<\/li>\n<li>GST Portal: Made available online after logging in to the taxpayer\u2019s account.<\/li>\n<li>Publication in Regional Newspaper: Published in a newspaper circulated in the locality of the taxpayer, based on the last known residential address.<\/li>\n<li>Affixing at Last Known Place of Business or Residence: Notice may be affixed at a prominent place at the taxpayer\u2019s last known business\/residential address. If deemed unreasonable, notice may be affixed on the noticeboard of the concerned GST office as a last resort.<\/li>\n<\/ul>\n<p>Notices can be served via Hand delivery, registered\/speed post, courier, Email registered on GST portal, Upload on GST portal, Newspaper publication or affixture at last known address The taxpayer is required to act only on notices issued through the above lawful modes. Notices received through any other means are not legally enforceable and need not be acted upon. Important Forms in SCN Process<\/p>\n<ul>\n<li>DRC-01 \u2013 Summary of demand with SCN.<\/li>\n<li>DRC-01A \u2013 Pre-SCN intimation (chance to pay and avoid penalty).<\/li>\n<li>DRC-02 \u2013 Statement in lieu of full SCN for subsequent periods.<\/li>\n<li>DRC-03 \u2013 Payment of tax, interest, penalty.<\/li>\n<li>DRC-04 \u2013 Acknowledgment of payment.<\/li>\n<li>DRC-05 \u2013 Intimation of conclusion of proceedings.<\/li>\n<li>DRC-06 \u2013 Reply to SCN.<\/li>\n<li>DRC-07 \u2013 Adjudication order summary.<\/li>\n<\/ul>\n<h3><span class=\"ez-toc-section\" id=\"Situations_Where_SCN_is_Issued_Forms\"><\/span><span style=\"color: #000080;\"><strong>Situations Where SCN is Issued &amp; Forms<\/strong><\/span><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<table style=\"height: 761px;\" width=\"1004\">\n<tbody>\n<tr>\n<td><strong>Situation<\/strong><\/td>\n<td><strong>Form<\/strong><\/td>\n<\/tr>\n<tr>\n<td>Denial of Composition Scheme<\/td>\n<td>GST-CMP-05<\/td>\n<\/tr>\n<tr>\n<td>Cancellation of Registration<\/td>\n<td>GST-REG-17<\/td>\n<\/tr>\n<tr>\n<td>Rejection of Revocation of Cancellation<\/td>\n<td>GST-REG-23<\/td>\n<\/tr>\n<tr>\n<td>Cancellation of Provisional Registration<\/td>\n<td>GST-REG-27<\/td>\n<\/tr>\n<tr>\n<td>Disqualification of GST Practitioner<\/td>\n<td>GST-PCT-03<\/td>\n<\/tr>\n<tr>\n<td>Rejection of Refund Claim<\/td>\n<td>GST-RFD-08<\/td>\n<\/tr>\n<tr>\n<td>Best Judgment Assessment<\/td>\n<td>GST-ASMT-14<\/td>\n<\/tr>\n<tr>\n<td>Demand for Tax (General)<\/td>\n<td>GST-DRC-01<\/td>\n<\/tr>\n<tr>\n<td>Under Section 73<\/td>\n<td>SCN for tax short paid without fraud<\/td>\n<\/tr>\n<tr>\n<td>Section 74<\/td>\n<td>SCN for tax short paid with fraud<\/td>\n<\/tr>\n<tr>\n<td>Under Section 76<\/td>\n<td>SCN for tax collected but not paid<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<h3><span class=\"ez-toc-section\" id=\"Types_of_Notices_Key_Details\"><\/span><span style=\"color: #000080;\"><strong>Types of Notices &amp; Key Details : <\/strong><\/span><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p>Lists 19 common GST notices, their form numbers, sections\/rules, purpose, action required, response time, and consequences. Examples:<\/p>\n<ul>\n<li><strong>REG-03<\/strong> \u2013 Clarification for new\/amended registration : Reply in REG-04 within 7 working days; else application rejected.<\/li>\n<li><strong>REG-17<\/strong> \u2013 SCN for cancellation of GST registration : Reply in REG-18 within 7 working days; else registration canceled.<\/li>\n<li><strong>GSTR-3A<\/strong> \u2013 Default notice for non-filing of returns : File pending returns within 15 days; else best judgment assessment.<\/li>\n<li><strong>CMP-05<\/strong> \u2013 SCN for composition scheme eligibility : Reply in CMP-06 within 15 days; else penalty and withdrawal.<\/li>\n<li><strong>ASMT-10<\/strong> \u2013 Scrutiny notice for discrepancies : Reply in ASMT-11 within 30 days; else ex-parte assessment.<\/li>\n<li><strong>DRC-01<\/strong> \u2013 SCN for tax demand : Reply in DRC-06 and pay via DRC-03 within 30 days; else order passed.<\/li>\n<li>Other notices include RFD-08 (refund rejection), ADT-01 (audit), RVN-01 (revision), and enforcement notices like DRC-10, DRC-11, DRC-13, DRC-16 for auction, recovery, and attachment.<\/li>\n<\/ul>\n<h3><span class=\"ez-toc-section\" id=\"GST_Notice_Compliance_Checklist\"><\/span><span style=\"color: #000080;\"><strong>GST Notice Compliance Checklist<\/strong><\/span><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p><strong>\u00a0<\/strong><span style=\"color: #000080;\"><strong>1) Identify &amp; Calendarise<\/strong><\/span><\/p>\n<ul>\n<li>Capture Form No. (e.g., GSTR\u20113A, ASMT\u201110, DRC\u201101, REG\u201117) and issuing section\/rule.<\/li>\n<li>Read the notice fully\u2014facts, discrepancy points, documents asked, and due date.<\/li>\n<li>Create a compliance calendar entry with an owner and deadline (keep a 2\u20133 day buffer).<\/li>\n<\/ul>\n<p><span style=\"color: #000080;\"><strong>2) Retrieve from GST Portal<\/strong><\/span><\/p>\n<ul>\n<li>Login \u2192 Services \u2192 User Services \u2192 View Additional Notices\/Orders; download the notice and annexures.<\/li>\n<li>Verify DIN\/Document ID and service date for limitation tracking.<\/li>\n<\/ul>\n<p><span style=\"color: #000080;\"><strong>3) Diagnose the Issue<\/strong><\/span><\/p>\n<ul>\n<li>Classify: non\u2011filing, ITC mismatch, short payment\/refund rejection, registration deficiency, audit.<\/li>\n<li>Map each point to source data (returns, ledgers, e\u2011way bills, books).<\/li>\n<\/ul>\n<p><span style=\"color: #000080;\"><strong>4) Gather Evidence<\/strong><\/span><\/p>\n<ul>\n<li>GSTR\u20111, GSTR\u20113B, 2A\/2B reconciliation, purchase\/sales invoices, e\u2011way bill reports.<\/li>\n<li>PMT\u201106 challans, credit\/debit notes, refund working papers.<\/li>\n<li>Reconciliation sheets (returns vs books; 2B vs 3B).<\/li>\n<\/ul>\n<p><span style=\"color: #000080;\"><strong>5) Use the Correct Reply Form <em>(standard timelines as per law\/notice)<\/em><\/strong><\/span><\/p>\n<ul>\n<li>REG\u201103 \u2192 reply in REG\u201104 (7 working days); registration clarifications.<\/li>\n<li>REG\u201117 \u2192 REG\u201118 (7 working days); SCN for cancellation.<\/li>\n<li>REG\u201123 \u2192 REG\u201124 (7 working days); SCN for revocation of cancellation.<\/li>\n<li>GSTR\u20113A \u2192 file pending returns (15 days); default\/non\u2011filing.<\/li>\n<li>CMP\u201105 \u2192 CMP\u201106 (15 days); composition eligibility SCN.<\/li>\n<li>ASMT\u201110 \u2192 ASMT\u201111 (within 30 days \/ as per SCN); return scrutiny.<\/li>\n<li>ASMT\u201114 \u2192 appear (order in ASMT\u201115; 15 days); best\u2011judgement assessment.<\/li>\n<li>RFD\u201108 \u2192 RFD\u201109 (15 days); refund rejection SCN.<\/li>\n<li>ADT\u201101 \u2192 attend\/produce records (as per notice); audit u\/s 65.<\/li>\n<li>DRC\u201101 \u2192 reply in DRC\u201106; pay via DRC\u201103 (30 days); SCN for demand.<\/li>\n<li>DRC\u201110 \u2192 pay as per DRC\u201109 (as per notice); auction of goods.<\/li>\n<li>DRC\u201111 \u2192 pay bid amount (within 15 days); successful bidder notice.<\/li>\n<li>DRC\u201113 \u2192 deposit &amp; reply in DRC\u201114 (timeline not specified); third\u2011party recovery.<\/li>\n<li>DRC\u201116 \u2192 no transfer\/charge on assets (N\/A); attachment and sale of assets.<\/li>\n<\/ul>\n<p><span style=\"color: #000080;\"><strong>6) Draft a Crisp, Evidenced Reply<\/strong><\/span><\/p>\n<ul>\n<li>Address each discrepancy point with reconciliations and document proofs.<\/li>\n<li>If liability exists, pay via DRC\u201103 and attach workings &amp; challans.<\/li>\n<li>Request personal hearing where appropriate; quote DIN and mention authorised signatory.<\/li>\n<\/ul>\n<p><span style=\"color: #000080;\"><strong>7) File Online &amp; Record Proof<\/strong><\/span><\/p>\n<ul>\n<li>Upload reply in the prescribed form with e\u2011sign\/DSC.<\/li>\n<li>Save Acknowledgement\/ARN, submitted reply PDF, and diarise a follow\u2011up date.<\/li>\n<\/ul>\n<p><span style=\"color: #000080;\"><strong>8) Service of Notice (CGST Sec. 169) \u2014 Know Valid Modes<\/strong><\/span><\/p>\n<ul>\n<li>Hand delivery, registered\/speed post\/courier, email, portal upload, newspaper publication, or affixture at last known address. Act on notices served only through these permitted modes.<\/li>\n<\/ul>\n<p><span style=\"color: #000080;\"><strong>9) Risk &amp; Escalation<\/strong><\/span><\/p>\n<ul>\n<li>Missing timelines can lead to ex\u2011parte orders, penalties (Sec. 122), prosecution, or cancellation.<\/li>\n<li>For complex\/high\u2011value cases, engage a CA and consider appeal within limitation.<\/li>\n<\/ul>\n<h3><span class=\"ez-toc-section\" id=\"Closing_the_Loop_on_GST_Notice_Compliance\"><\/span><span style=\"color: #000080;\"><strong>Closing the Loop on GST Notice Compliance<\/strong><\/span><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p>With the ongoing digitalization of GST processes, the system is designed to minimize physical documentation and personal interaction with the Department. All replies to GST notices can be submitted online via the GST portal. Key Points<\/p>\n<ol>\n<li>Payment of Tax and Interest: If a notice involves tax or interest liability, payment must be made in the prescribed form and manner before submitting the reply.<\/li>\n<li>Submission of Reply: Replies must be submitted in the requisite form, along with any supporting documents, to the issuing tax authority. Replies can be filed using a digital signature (DSC) or e-signature of the authorized personnel or the taxpayer.<\/li>\n<li>Authorisation of Representatives: A taxpayer may authorize another representative to handle GST notice matters by issuing a Letter of Authorization. The authorized representative can reply to notices and take necessary actions on behalf of the taxpayer.<\/li>\n<li>Consequences of Non-Compliance: Failure to respond within the stipulated time can attract penalties, prosecution, and further proceedings under GST law. It is strongly advisable to comply timely and remain on the \u201cright side of the law\u201d to avoid adverse consequences.<\/li>\n<\/ol>\n<h3><span class=\"ez-toc-section\" id=\"GST_Notice_Compliance\"><\/span><span style=\"color: #000080;\"><strong>GST Notice Compliance<\/strong><\/span><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p>All replies must be filed online on GST portal using prescribed forms. Payment of tax\/interest (if applicable) must precede reply submission. Taxpayers can authorize a representative via Letter of Authorization. &amp; Non-response leads to penalty, prosecution, and further proceedings. Read SCN line by line; note GSTIN, tax period, allegations, sections cited. Discuss with client; collect invoices, ITC details, e-way bills. Draft reply addressing each allegation; quote law and case precedents. Attach annexures for calculations, classification notes, case laws. Submit reply online in DRC-06 and keep acknowledgment.<\/p>\n<h3><span class=\"ez-toc-section\" id=\"Key_Sections_Their_Focus_GST_Notice_Compliance\"><\/span><span style=\"color: #000080;\"><strong>Key Sections &amp; Their Focus\u00a0<\/strong><strong>GST Notice Compliance<\/strong><\/span><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<ul>\n<li><span style=\"color: #000080;\"><strong>Section 73<\/strong> \u2013<\/span> Tax not paid\/short paid\/ITC wrongly availed (without fraud).\n<ul>\n<li>Time Limit: SCN within 2 years 9 months; order within 3 years.<\/li>\n<li>Penalty: 10% of tax or \u20b910,000 (whichever higher).<\/li>\n<li>Relief: Zero penalty if paid before SCN or within 30 days of SCN.<\/li>\n<\/ul>\n<\/li>\n<li><span style=\"color: #000080;\"><strong>Section 74<\/strong><\/span> \u2013 Tax not paid\/short paid due to fraud or suppression.\n<ul>\n<li>Time Limit: SCN within 4 years 6 months; order within 5 years.<\/li>\n<li>Penalty: 100% of tax.<\/li>\n<li>Relief: 15% penalty if paid before SCN; 25% within 30 days of SCN; 50% within 30 days of order.<\/li>\n<\/ul>\n<\/li>\n<li><span style=\"color: #000080;\"><strong>Section 76<\/strong> <\/span>\u2013 Tax collected but not paid.\n<ul>\n<li>Time Limit: No limit for SCN; order within 1 year of SCN.<\/li>\n<li>Penalty: Equal to tax amount (100%).<\/li>\n<li>No relief options.<\/li>\n<\/ul>\n<\/li>\n<\/ul>\n<h3><span class=\"ez-toc-section\" id=\"Comparison_of_Sections_73_74_76\"><\/span><span style=\"color: #000080;\"><strong>Comparison of Sections 73, 74 &amp; 76<\/strong><\/span><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<table>\n<tbody>\n<tr>\n<td><span style=\"color: #000080;\"><strong>Aspect<\/strong><\/span><\/td>\n<td><span style=\"color: #000080;\"><strong>Section 73 (No Fraud)<\/strong><\/span><\/td>\n<td><span style=\"color: #000080;\"><strong>Section 74 (Fraud\/Suppression)<\/strong><\/span><\/td>\n<td><span style=\"color: #000080;\"><strong>Section 76 (Tax Collected but Not Paid)<\/strong><\/span><\/td>\n<\/tr>\n<tr>\n<td><strong>Nature of Case<\/strong><\/td>\n<td>Tax not paid \/ short paid \/ ITC wrongly availed or utilized without fraud or willful misstatement<\/td>\n<td>Tax not paid \/ short paid \/ ITC wrongly availed or utilized due to fraud, willful misstatement, or suppression<\/td>\n<td>Tax collected from recipient but not paid to Govt<\/td>\n<\/tr>\n<tr>\n<td><strong>SCN Issue Timeline<\/strong><\/td>\n<td>Within 2 years 9 months from due date of Annual Return<\/td>\n<td>Within 4 years 6 months from due date of Annual Return<\/td>\n<td>No time limit prescribed<\/td>\n<\/tr>\n<tr>\n<td><strong>Order Passing Timeline<\/strong><\/td>\n<td>Within 3 years from due date of Annual Return<\/td>\n<td>Within 5 years from due date of Annual Return<\/td>\n<td>Within 1 year from date of SCN<\/td>\n<\/tr>\n<tr>\n<td><strong>Penalty Structure<\/strong><\/td>\n<td>10% of tax or \u20b910,000 (whichever higher)<\/td>\n<td>100% of tax<\/td>\n<td>Equal to tax amount (100%)<\/td>\n<\/tr>\n<tr>\n<td><strong>Relief Options<\/strong><\/td>\n<td>&#8211; Before SCN: No penalty<\/td>\n<td><\/td>\n<td><\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<ul>\n<li>Within 30 days of SCN: No penalty | &#8211; Before SCN: 15% penalty<\/li>\n<li>in case Within 30 days of SCN: 25% penalty<\/li>\n<li>Within 30 days of order: 50% penalty | No relief options available | | Forms Used | DRC-01 (SCN), DRC-03 (Payment), DRC-06 (Reply) | DRC-01, DRC-03, DRC-06 | DRC-01, DRC-03, DRC-06 | | Interest | Payable under Section 50 | Payable under Section 50 | Payable under Section 50<\/li>\n<\/ul>\n<h3><span class=\"ez-toc-section\" id=\"Penalty_Relief_Opportunities\"><\/span><span style=\"color: #000080;\"><strong>Penalty Relief Opportunities<\/strong><\/span><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<ul>\n<li><span style=\"color: #000080;\"><strong>Section 73:<\/strong><\/span>\n<ul>\n<li>Before SCN \u2192 No penalty.<\/li>\n<li>Within 30 days of SCN \u2192 No penalty.<\/li>\n<\/ul>\n<\/li>\n<li><span style=\"color: #000080;\"><strong>under Section 74:<\/strong><\/span>\n<ul>\n<li>Before SCN \u2192 15% penalty.<\/li>\n<li>i case Within 30 days of SCN \u2192 25% penalty.<\/li>\n<li>Within 30 days of order \u2192 50% penalty.<\/li>\n<\/ul>\n<\/li>\n<\/ul>\n","protected":false},"excerpt":{"rendered":"<p>Common Reasons for GST Notices, Sending &amp; Compliance GST notices are official communications issued by GST authorities for reasons such as non-filing of returns, discrepancies, ITC mismatches, or other compliance issues. They require timely responses to avoid penalties or adverse actions. GST is based on self-assessment and self-certification, requiring taxpayers to comply proactively. Notices under &hellip;<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_mi_skip_tracking":false,"_monsterinsights_sitenote_active":false,"_monsterinsights_sitenote_note":"","_monsterinsights_sitenote_category":0,"footnotes":""},"categories":[933],"tags":[1253],"aioseo_notices":[],"_links":{"self":[{"href":"https:\/\/www.caindelhiindia.com\/blog\/wp-json\/wp\/v2\/posts\/9765"}],"collection":[{"href":"https:\/\/www.caindelhiindia.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.caindelhiindia.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.caindelhiindia.com\/blog\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.caindelhiindia.com\/blog\/wp-json\/wp\/v2\/comments?post=9765"}],"version-history":[{"count":4,"href":"https:\/\/www.caindelhiindia.com\/blog\/wp-json\/wp\/v2\/posts\/9765\/revisions"}],"predecessor-version":[{"id":9768,"href":"https:\/\/www.caindelhiindia.com\/blog\/wp-json\/wp\/v2\/posts\/9765\/revisions\/9768"}],"wp:attachment":[{"href":"https:\/\/www.caindelhiindia.com\/blog\/wp-json\/wp\/v2\/media?parent=9765"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.caindelhiindia.com\/blog\/wp-json\/wp\/v2\/categories?post=9765"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.caindelhiindia.com\/blog\/wp-json\/wp\/v2\/tags?post=9765"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}