The discrepancy communicated in FORM GST MIS-3 to the supplier has been rectified in subsequent return filed by the recipient. Can the supplier avail the reduction in output tax liability after the recipient rectifies the return?

1. The reduction in output tax liability which remains unmatched is added to the output tax liability of the supplier in the month succeeding the month in which FORM GST MIS-3 is communicated.
2. However, if the discrepancy is rectified within the date for filing the return for the period of September of the succeeding financial year or before the annual return is submitted by him, then the supplier is eligible to reduce the output tax liability to the extent of differential tax liability paid on account of such mismatch.

(ICAI FAQ PUBLICATIONS 06-09-2017 RETURNS : FAQ NO.45)