Gujarat HC says DRC-03A Adjustment Recognised for Section 128A Amnesty

The Gujarat High Court set aside the rejection of a taxpayer’s application under the GST amnesty scheme. Although the original DRC-03 mentioned the wrong financial year, the payment was subsequently adjusted against the relevant demand through DRC-03A, accepted on the GST portal, resulting in a nil balance in the Electronic Liability Register. The Court held that the authority was required to recognise and consider the legal effect of this adjustment while examining the application under Section 128A.