TaxTMI 
TaxTMI 
One of my client had missed declaring one of the inv of P y 2021-22 which has been included in April 2022 GSTR-1 , the question is whether the payment made in the cash ledger relating to such inv to be adjusted in 3B return of April 2022 or it should be adjusted thru DRC 03 ? Is there any chance that the department may issue a notice in the future that there is a mismatch between GSTR-1 and GSTR 3B .
Previous Year omitted inc declared C y GSTR1 and payment there of
07 May 2022 
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GST liability adjustment: declare missed prior-year invoice in current financial year's GSTR 3B and pay interest to avoid notices.
Missed prior-year invoice declared later should be regularised by declaring the tax liability and paying tax with interest, preferably via GSTR 3B within the same financial year to evidence bona fides and reduce notice risk. If liability is discharged after the original financial year, DRC 03 is an alternative, but portal updates and proposed financial-year reconciliation of GSTR 1 and GSTR 3B make carrying prior-year liabilities into the next financial year's GSTR 3B inadvisable; interest must be applied on a gross basis when selecting the mechanism. (AI Summary)
Missed prior-year invoice declared later should be regularised by declaring the tax liability and paying tax with interest, preferably via GSTR 3B within the same financial year to evidence bona fides and reduce notice risk. If liability is discharged after the original financial year, DRC 03 is an alternative, but portal updates and proposed financial-year reconciliation of GSTR 1 and GSTR 3B make carrying prior-year liabilities into the next financial year's GSTR 3B inadvisable; interest must be applied on a gross basis when selecting the mechanism. (AI Summary)