FORM GST DRC-01 - Summary accompanying a detailed section 73 notice
A detailed notice proposes a quantified non-fraud blocked-credit demand for FY 2023–24.
Responsible actor: The proper officer serves the detailed show-cause notice with its electronic summary. Provision: Sections 17(5)(b)(i),50(3),73(1),(8),(9),(11),75(4); rule 142(1)(a).
Official source and completed example
Download official blank source extract PDF Download completed fictional sample PDF
The sample is a flowed model of the prescribed fields and selected paragraphs, not an official issued PDF. Names, references and facts are fictional. It contains no signature, stamp, DSC or simulated approval.
Current law checked 21 October 2026. Selected FY 2023–24 section 73 or explicitly identified earlier-law branch; all names/references are fictional and unsigned.
Worked facts and completed entries
Independent Branch C: CGST 9000 and SGST 9000 on a January 2024 staff-catering invoice were actually availed and fully utilised 20 February 2024. No outward-catering or statutory employer-obligation exception applies. No fraud, unpaid self-assessed output tax or collected tax is involved. No payment is made within thirty days after the 10 August 2026 section 73 notice.
Reference and addressee
| Reference number | ILLUSTRATION-DRC01-C-2026-0810 |
|---|---|
| Date | 10 August 2026 |
| GSTIN | 29AABCA0000A1ZT |
| Name | Aster Learning Supplies Private Limited (fictional) |
| Address | 12 Learning Park, Bengaluru, Karnataka 560001 (fictional) |
| Tax period / FY | 1–31 January 2024 /2023–24 |
| Act / provision | CGST and Karnataka SGST /section 73(1) |
| Detailed SCN reference / date | ILLUSTRATION-SCN-C-2026-0810 /10 August 2026 |
(a) Brief facts
Independent Branch C: CGST 9000 and SGST 9000 on a January 2024 staff-catering invoice were actually availed and fully utilised 20 February 2024. No outward-catering or statutory employer-obligation exception applies. No fraud, unpaid self-assessed output tax or collected tax is involved. No payment is made within thirty days after the 10 August 2026 section 73 notice.
(b) Grounds
Section 17(5)(b)(i) blocks the selected catering credit. Actual utilisation is established by the credit ledger, so section 50(3)/rule 88B(3) interest runs at the notified 18% from 20 February 2024. No section 17(5)(b) exception is assumed. The section 73(9) proposed/adjudicated penalty is 10% of tax or 10000, whichever is higher:10000 per Act, subject to the lawful section 73(8)/(11) gate. The detailed notice asks for a reply by 10 September 2026 and offers a25 September11:00 hearing. Its invoice/ledger annexure accompanies this summary. Interest902 days at 10 August is 9000 ×18% ×902/365 =4003.40, rounded 4003 per Act; it continues to actual payment.
(c) Proposed tax and dues in INR
| Act | Tax | Interest | Penalty | Fee / other | Total |
|---|---|---|---|---|---|
| CGST | 9000 | 4003 | 10000 | 0 /0 | 23003 |
| SGST | 9000 | 4003 | 10000 | 0 /0 | 23003 |
| IGST / Cess | 0 | 0 | 0 | 0 /0 | 0 |
| Total | 18000 | 8006 | 20000 | 0 /0 | 46006 |
Prescribed optional rate / turnover / period / POS
| Tax rate / turnover | Not applicable to quantification of blocked ITC; the invoice is not treated as unreported outward turnover |
|---|---|
| Period from / to | 1 January to 31 January 2024 |
| POS | Not applicable: no IGST demand |
| HSN / goods / services where applicable | Staff catering service; HSN entry not necessary to identify this blocked-credit dispute |
Payment and procedural options
The proposed arithmetic is tax 18000 + interest 8006 + proposed penalty 20000 =46006. Full tax and applicable interest within thirty days of notice issue can conclude this selected section 73 matter without penalty, subject to section 73(11). Otherwise the officer must determine liability after the response/hearing process. A summary alone is not a substitute for the detailed notice.
Officer and execution
| Name / designation | N. Prakash, Assistant Commissioner, Bengaluru (fictional; unsigned teaching role) |
|---|---|
| Jurisdiction / address | Bengaluru Central Tax / Illustration Office,12 Learning Park, Bengaluru560001 |
| Date / signature | 10 August 2026 / unsigned educational role, no official order or approval |
How this form moves the matter forward
- Identify the actual FY, statutory provision, full underlying instrument and exact service record.
- Reconcile each Act, period, tax, interest and penalty with the evidence and hearing record.
- Keep the electronic summary linked to the detailed notice/order; observe the separate reply, settlement, appeal and recovery rules.
Evidence supporting these entries
- Invoice and actual availment/utilisation ledger
- Detailed notice/statement, service record, reply and hearing evidence
- Independent day-count/interest and penalty working; original reasoned order where applicable
Additional primary authority: Official CGST Act as on 11 June 2026:sections 73/74A/75 PDF pages 67–72, section 78 PDF page 73, section 161 PDF page 120.
Additional primary authority: West Bengal GST Policy Planning Unit, GST Updates July 2022, PDF page 3:actual section 50(3) notified interest rate 18%; pages 8–9:utilisation basis.
Period and legal consequences
Section 73 concerns periods through FY 2023–24; section 74A governs FY 2024–25 onward. The notice is 10 August 2026, within the ordinary section 73 notice/order framework for FY 2023–24. This model does not convert a proposal into a final adjudicated demand.
Primary source and exact locator
Official notified form source: PDF pages 414-415; printed pages 408-409.
CGST Act and government-hosted Act and Rules compilation - Sections 17(5)(b)(i),50(3),73(1),(8),(9),(11),75(4); rule 142(1)(a). Source and example revision: 21 October 2026.
Questions answered by this example
Who prepares or issues this form?
The proper officer serves the detailed show-cause notice with its electronic summary. A detailed notice proposes a quantified non-fraud blocked-credit demand for FY 2023–24.
Can this sample be filed or treated as an issued document?
No. It is a completed fictional teaching example. Use the notified form and the authenticated portal/proceeding record for an actual matter. The example contains no executed signature or official approval.
What must reconcile before the next step?
Invoice and actual availment/utilisation ledger; Detailed notice/statement, service record, reply and hearing evidence; Independent day-count/interest and penalty working; original reasoned order where applicable.