Designed and Developed by GSTN
GSTN Training Program
Form GST DRC-03A
(Adjustments of payments
made through DRC-03)
January 2025
Form GST DRC-03A Designed and Developed by GSTN
Challenges before DRC-03A
Whenever a demand is created, payments towards the same is to be made
through the designated payment facility on the GST portal through Payment
towards Demand
If Taxpayers used DRC-03 for the payment of the same, then it was not giving any
effect on outstanding demands and the same is showing as unpaid in the
Electronic Liability Register
Lack of clarity in payment allocation resulted into penalties for non-compliance
and recoveries even when payments had already been made
To address this issue, DRC-03A was introduced vide Notification No. 12/2024 on
10.07.24
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Form GST DRC-03A Designed and Developed by GSTN
Understanding DRC-03A
Taxpayers can file DRC-03A for linking payments made through DRC-03 to specific
Demand Orders
DRC-03A allows the amount paid through DRC-03 to be credited in the Electronic
Liability Register against the selected Demand Id
DRC-03A can be filed to link :-
a) a Demand payable under Section 52, 73, 74, 74A, 76, 122, 123, 124, 125,
127, 129, 130
b) with a DRC-03 which had been filed by selecting cause of payment as
"Voluntary" or "Others“
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Form GST DRC-03A Designed and Developed by GSTN
Filing Form GST DRC-03A
Navigation Path for DRC-03A – Services > User Service > My Application
Enter ARN of DRC-03 and select the Demand Order number from a drop-down
menu.
In a DRC-03A, only one DRC-03 and one Demand Id can be entered
Validations on entering DRC-03 Reference Number in DRC-03A :
It should be a valid DRC-03 reference number filed through system
It must have been filed by selecting “Cause of Payment” as “Voluntary” or
“Others”
It should not have been utilized for claiming re-credit of ITC in PMT-03A
DRC-03 must have a positive balance in atleast one of the major minor headSlidei.e.
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Form GST DRC-03A Designed and Developed by GSTN
Filing Form GST DRC-03A
Separate DRC-03A forms are to filed for linking :
Multiple DRC-03s against a single Demand Order, or
A single DRC-03 against multiple Demand Ids
A DRC-03 can be used more than one time till the entire amount is utilized
Taxpayer can adjust full as well as partial payment against Demand ID through
DRC-03A but cannot be more than the demand amount
DRC-03 can be adjusted against Demand ID even if Place of Supply (POS) selected
in DRC-03 and Demand Order are different
DRC-03 can be adjusted against Demand ID even if Tax Period selected in DRC-03
and Demand Order are different. MFY DRC-03 can be utilized against SFY Demand
ID and vice-versa
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Form GST DRC-03A Designed and Developed by GSTN
Filing Form GST DRC-03A
Adjustment of Payment through Cash Ledger:
In Table B(2) DRC-03 – Amount to be adjusted : Cash
Adjustment can be done across any major head (IGST, CGST, SGST/UTGST,
CESS) but shall be restricted to the same minor head (Tax, Interest, Penalty, Fee,
Others)
Example – IGST Tax demand can be adjusted against any major head payment
(IGST, CGST, SGST/UTGST, CESS) but within the same minor head Tax
CGST Tax demand can be adjusted against any major head payment (IGST,
CGST, SGST/UTGST, CESS) but within the same minor head Tax
SGST/UTGST Tax demand can be adjusted against any major head payment
(IGST, CGST, SGST/UTGST, CESS) but within the same minor head Tax
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Form GST DRC-03A Designed and Developed by GSTN
Filing Form GST DRC-03A
In Table B(2) DRC-03 – Amount to be adjusted : Cash
CESS Tax demand can be adjusted against any major head payment (IGST,
CGST, SGST/UTGST, CESS) but within the same minor head Tax
Same validations are implemented for adjustment of demand of other minor
heads (Interest, Penalty, Fees, Others)
Adjustment of Payment through Credit Ledger:
In Table C(2) DRC-03 – Amount to be adjusted : Credit
Adjustment can be done as per credit utilization rules of Section 49A
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Form GST DRC-03A Designed and Developed by GSTN
DRC 03 Register - Taxpayer
DRC-03 Register will be available for taxpayer to view remaining balance of DRC-
03 after adjustment in DRC-03A
Below the navigation path on GST Portal
Services > User Services > DRC 03 Register
System creates DRC-03 Register only for those DRC-03 which are adjusted partially
or fully through DRC-03A
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Form GST DRC-03A Designed and Developed by GSTN
DRC - 03A & DRC – 03 Register – GSTN BO Officer
DRC-03 Register will be available for tax officer to view the balance of Form GST DRC-
03 after adjustment in DRC-03A
Under Statutory Functions > Assessment/Adjudication > DRC-03 Register
Tax officer can view the filed DRC-03A and supporting documents uploaded by
taxpayers, but cannot take any action on same
Under Statutory Functions > Assessment/Adjudication > Adjustment of
Payment made through DRC 03 – Form GST DRC 03A
Whenever a GST related demand is created, both Electronic Liability Register and
DCR are updated with a liability through Debit entry
When liability against demand is paid, either by way of payment towards demand or
by adjusting DRC-03 payment through DRC-03A , the credit entry for the same is
posted in both Electronic Liability Register and Demand and Collection Register
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Designed and Developed by GSTN
THANK YOU!
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