Got an ASMT-10 Scrutiny Notice? How to Reply in ASMT-11 (2026)

What is ASMT-10?

Under Section 61 of the CGST Act, an officer may scrutinise your returns to check their correctness. If he finds discrepancies, he informs you in Form GST ASMT-10, asks for an explanation, and may quantify the tax, interest and other amounts involved. It is a notice of discrepancy — not yet a demand.

Common reasons for ASMT-10

Mismatch	What it usually means
GSTR-1 vs GSTR-3B	Sales reported in GSTR-1 but less tax paid in GSTR-3B
GSTR-2B vs GSTR-3B (ITC)	ITC claimed in GSTR-3B is more than what appears in GSTR-2B
E-way bills vs returns	Goods moved on e-way bills but no matching sales
Blocked credits	ITC on items under Section 17(5) not reversed
Rate or HSN	Tax charged at a lower rate than applicable

Your reply: ASMT-11

Reply in Form GST ASMT-11 within 30 days of the notice (or the time the officer allows). Path: Services → User Services → View Notices and Orders → open the notice → Reply. You can:

1. Accept the discrepancy and pay the tax with interest through DRC-03, quoting the DRC-03 in the reply; or
2. Explain why there is no short payment — e.g. ITC belongs to the previous year's invoices, a credit note explains the gap, or GSTR-1 had a typing error already corrected in a later return — and attach documents; or
3. A mix: accept part, explain the rest.

Keep the reply factual, point by point, with reconciliation tables (GSTR-1 vs 3B, 2B vs 3B month-wise).

What happens next

• Reply accepted → the officer closes the matter in ASMT-12.
• No reply, or reply not satisfactory → the officer can start an audit (Sections 65/66), an inspection or search (Section 67), or demand proceedings. For periods up to FY 2023-24 that means Section 73/74; for FY 2024-25 onwards, Section 74A — usually beginning with DRC-01A or a show cause notice in DRC-01.

Tips

• Never ignore an ASMT-10 — silence almost always leads to a demand.
• Check if your buyer's or supplier's filing caused the mismatch; get their confirmations.
• Pay undisputed amounts early through DRC-03 — interest stops running.
• Keep the ARN of your ASMT-11 reply.

Practise the reply

In the GST Practice Lab, Chapter 12 issues an ASMT-10 to a business, you reply in ASMT-11 with OTP, pay through DRC-03 and receive ASMT-12 — on a copy of the portal. Related: DRC-01B demand notices.