good afternoon friends important video what happened if there is difference in outward Supply and corresponding liability H furnaced in gstr1 versus outward Supply and corresponding liability paid through gstr 3B in simple language let's say you have shown your outward Supply and corresponding liability in gstr1 at 10 lakh Rupees but you are showing outward Supply and corresponding liability in gstr3b and paying only 1 lakh through 3B then there is difference elect liability shown in one versus one lakh paid in 3B what happened to this difference rule 88c already got notified from 26 December 2022 26 December 2022 if there is a difference in one versus three B by such amount and such percentage hear the word used by such amount and such percentage as recommended by GST Council then you are going to get a notice in part a drc01b and as per this notice you have two options either you should pay the differential liability one versus three B str10 difference along with interest White drc03 or you should reply the region for such difference and there may be two situation first there is clerical error bona fide mistake on the part of supplier while filing gstr1 clerical mistake he has made the mistake thereby it is showing 10 lakh as liability as against actual 1 lakh honey foreign you must reply in Part B of drc01b within seven days a difference foreign cannot be revised it can be amended in subsequent tax period of periods and for rectification of any omissioner or error in gstr1 time is permitted earlier it was September following the end of relevant Financial year but now it is 30th November effectively from 1st October 2022 Yani gstr one Mega so you can always Rectify any Omission or error Palace following the end of relevant Financial year 30th November effective from 1st October 2022. any gstr one time period this November following the end of relevant Financial year ago transaction here financially at 22 23.str one rectification of any omission and error can be corrected having said that this is the provision existing but still department will issue notice part a drc01b as per rule 88c either you should pay the differential liability along with interest by drc03 or you should reply the region why this difference between 1 and 3B if you don't pay liability and don't reply also in Part B within seven days of drc01b or your reply region cited is found that the proper officer is not satisfied then he will initiate recovery proceedings recovery proceedings under Section 79 without issuance of so-called notice under Section 73 or 74. 3B foreign proper officer will initiate recovery proceedings under Section 79 without issue and subso cause notice now a new rule got inserted rule 142 B effective from 4th of August 2023 38 oblique 2023 Central tax as per this rule they are clearly saying where in accordance with Section 75 and this one versus three B is coming out by way of explanation under Section 75 subsection 12 of cgst act red with rule 88c where any amount which is not being paid by the SSC in that case they will initiate the recovery proceedings they will send notice in DRC 01d DRC 0 1 D they will issue a notice and this notice is uh going to create the liability in part two of your e liability ledger so this amount which is not being paid is going to be intimated through notice and add it in part two of your e liability Ledger hence thereby within the specified period as stated in the notice you must pay the liability if you don't pay the liability within that specified time period department is empowered to initiate recovery proceedings recovery proceedings even without issuance of so cause notice under Section 73 or 74. so it is wake up call yes we have seen in the trade there is some time bona fide mistake that while filing one you do a mistake as against one lakh it is shown as a 10 lakh you pay actual liability which is one lakh so 9 lakh Rupees is a difference which is self-assessment tax as per 75 subsection 12 explanation rule 88c got inserted from 26 December 2022 you will get notice part A drc01b you pay the liability along with interest or reply within seven days Part B of drc01b if you don't pay don't reply then that would be recovered in terms of rule 142 B even without issue and subso cause notice and notice is going to be issued to you in drc01d drc01d which is notice for recovery please notice for recovery so this note is going to add up this differential amount as a liability in part two of e liability ledger so you have to be really careful about and you should not leave unattended you must give reason and reply and why this provision has been introduced for the simple region there were certain unscrupulous person intentionally filing their gstr1 with incremental figures as against one lakh they were showing 10 lakh to pass on the ineligible credit to the buyer to the recipient but paying only 1 lakh rupees to stop them to done away with them that is the region rule ATHC got inserted in the context of 75 subsection 12 explanation difference of 1 versus 3B is self-assessment tax otherwise if there is genuine mistake your bonafide no no no worry you should not worry about you must reply to the department whenever you get notice part A drc01b you should reply in Part B within seven days bear in your mind within seven days that is what rule ATHC is talking about so you should not leave such notice importantly you keep close watch on your common portal and that registered email ID which is the given at the time of furnacing your GST registration notices you can always do rectification of any Omission or error in gstr1 till 30th November following the end of relevant Financial year Yani 37. hope this video will help you in case there is any difference in one versus three B and you're getting notice from the Department be careful recovery power is being given by rule 142 B so careful about stay tuned thanks for watching thank you very much