Answer

1. F

   Facts

   Since Notification 79/2020-CT, Rule 142(1A) says the officer may issue DRC-01A, so it is optional on its plain wording. Some High Courts have held it necessary where the right to pay with lower penalty is affected, and the validity of the 2020 amendment is under challenge.

2. P

   Provisions and law

   • Rule 142(1A), CGST Rules 2017Before a show cause notice, the officer may communicate tax, interest and penalty ascertained in Part A of DRC-01A
   • Notification 79/2020-Central TaxChanged shall to may in Rule 142(1A), making DRC-01A discretionary
3. A

   Analysis

   You can raise the missing DRC-01A as a ground, but do not rely on it alone. Courts are divided, so reply on merits as well. You still have the right to pay within the period after the notice for reduced or nil penalty.

4. C

   Conclusion

   1. 1Check whether any DRC-01A was issued earlier.
   2. 2If not, mention it as a procedural ground.
   3. 3Reply fully on merits.
   4. 4Use the payment window after the notice if you accept part.

General guidance from TaxSavvy’s library of money processes. Laws change; your Savvy confirms the answer on your exact case before anything is filed.