GST DRC-13: Provisional Attachment to Protect Revenue

Legal Basis: Section 83 of the CGST Act, 2017

Extract of Section 83 of the CGST Act, 2017

Section 83: Provisional Attachment to Protect Revenue in Certain Cases

(1) Where during the pendency of any proceedings under section 62, section 63 or section 64, section 67 or section 73 section 74, the Commissioner thinks that to protect the interest of the Government revenue, it is necessary to do, he may, by order in writing, attach provisionally any property, including bank account, belonging to the taxable person in such manner as may be prescribed.

(2) Every such provisional attachment shall cease to have effect after the expiry of a period of one year from the date of the order made under subsection (1).

DRC-13 Notice

The GST DRC-13 notice is a crucial document issued by the GST authorities. It informs a taxable person about the provisional attachment of their property, including bank accounts. This notice plays a significant role in safeguarding the government’s revenue interests during ongoing proceedings related to assessment, inspection, search, seizure, and determination of tax liability.

Example Scenario

Suppose a business, XYZ Pvt Ltd, is under investigation for significant discrepancies in its GST returns, leading to a suspected substantial tax liability. During the investigation, to prevent XYZ Pvt Ltd from disposing of its assets and to secure the government’s revenue interests, the Commissioner issues a DRC-13 notice for the provisional attachment of XYZ Pvt Ltd’s bank accounts and specific immovable properties.

Legal Recourse and Proceedings

Legal Recourse

When a taxpayer receives a GST DRC-13 notice, they should:

  1. Review the Notice: It’s crucial to carefully read the notice to fully understand which properties or bank accounts are provisionally attached. This understanding will empower you to take the necessary steps.
  2. When a taxpayer receives a GST DRC-13 notice, it is advisable to seek professional advice. A GST practitioner or tax consultant can provide valuable insights into the notice’s implications and help formulate an appropriate response.
  3. Prepare a Response: If there are grounds to dispute the attachment, prepare relevant documents and evidence to challenge it.

Legal Proceedings

If the taxpayer believes that the provisional attachment is unjustified, they can:

  • File an Objection: Respond to the notice with valid reasons and request the Commissioner to reconsider the provisional attachment.
  • Seek Judicial Intervention: Approach the appropriate judicial forum, such as the High Court, for relief against the provisional attachment order.

Penalties and Prosecution

While the provisional attachment itself is not a penalty, it can lead to significant operational challenges for the business:

  • Operational Disruption: Freezing of bank accounts and attachment of property can disrupt the business’s daily operations.
  • Financial Constraints: The inability to access bank accounts can lead to cash flow issues, impacting the ability to meet financial obligations.

Do’s and Don’ts on Receiving a GST DRC-13 Notice


  1. Read Carefully: Understand the specifics of the provisional attachment and which assets are affected.
  2. Gather Evidence: Collect all necessary documents and information to support any dispute against the attachment.
  3. Consult a Professional: Seek advice from a GST practitioner or legal expert to understand your options and formulate a response.
  4. Respond Promptly: To avoid further complications, it’s essential to file objections or responses within the stipulated deadline. This urgency underscores the importance of the situation and the need for immediate action.
  5. Maintain Records: Keep copies of the notice and all related documents for future reference.


  1. Ignore the Notice: Ignoring the notice will lead to continued attachment and possible further legal actions.
  2. Delay Response: Delaying your response can result in prolonged operational disruptions.
  3. Provide Incorrect Information: Ensure all information in response to the notice is accurate and complete.
  4. Disregard Professional Advice: Always consult a professional if unsure about the notice’s content or implications.

Legal Remedy

If a taxpayer believes that the provisional attachment is unjust or causes undue hardship, they have the following remedies:

  1. File an Objection with the Commissioner: Respond to the notice, providing valid reasons and evidence to dispute the attachment.
  2. Seek Judicial Relief: You can challenge the provisional attachment order in the High Court or other appropriate judicial forums.
  3. Request a Review: If there are valid grounds to believe the attachment is incorrect, request that higher authorities review the attachment order.


Section 83 of the CGST Act 2017 provides the framework for provisional attachment to protect government revenue. The GST DRC-13 notice is critical for securing the government’s interests during ongoing proceedings. Understanding how to respond to such notices, the potential operational disruptions, and the available legal remedies can help businesses navigate the provisional attachment process smoothly and avoid possible legal issues. Proper preparation and professional guidance are essential to handling provisional attachments effectively and ensuring compliance with GST regulations.

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