Key Pointers –

• GSTN has developed a functionality to generate automated intimation in Form GST DRC-01C which enables the taxpayer to explain the difference in Input tax credit available in GSTR-2B statement & ITC claimed in GSTR-3B return online as directed by the GST Council.
• It will compare the ITC declared in GSTR-3B/3BQ with the ITC available in GSTR-2B/2BQ for each return period. Taxpayer will receive an intimation in the form of DRC-01C in case a predefined limit or the percentage difference exceeds the configurable threshold.
• The taxpayer must file a response using Form DRC-01C Part B. The taxpayer has the option to either provide details of the difference using Form DRC-03, or provide an explanation for the difference, or both.
• In case, no response is filed by the impacted taxpayers in Form DRC-01C Part B, such taxpayers will not be able to file their subsequent period GSTR-1/IFF.

https://www.gst.gov.in/newsandupdates/read/614