GST Reconciliation (Upto 3 Months)

GST Reconciliation refers to the process of matching the details of outward supplies declared by the supplier in the GSTR-1 return with the details of inward supplies declared by the recipient in the GSTR-2A return. The purpose of GST Reconciliation is to identify any discrepancies between the two returns and take corrective action to rectify them.

The process of GST Reconciliation involves the following steps:

Obtain the GSTR-2A return from the GST portal.

Match the details of inward supplies in the GSTR-2A return with the corresponding details of outward supplies in the GSTR-1 return.

Identify any discrepancies such as differences in the quantity or value of supplies declared, or cases where the supplier has not declared the supplies.

Take corrective action to rectify the discrepancies. This may involve following up with the supplier to rectify any errors in their return, or making amendments to the recipient's return to reflect the correct details of inward supplies.

Reconcile the corrected details of inward and outward supplies and submit the final reconciliation statement in Form GSTR-9C.

GST Reconciliation is an important compliance requirement for taxpayers as it helps to ensure accurate reporting of transactions and avoids any discrepancies or errors in the GST returns. Failure to reconcile the returns or filing incorrect returns may result in penalties and interest charges. Therefore, it is advisable for taxpayers to ensure that they undertake GST Reconciliation on a regular basis and seek professional help if necessary to ensure compliance with GST regulations.