For GST registered businesses, filing accurate returns is essential to claim the right Input Tax Credit (ITC). When suppliers file GSTR-1, their sales data gets reflected in recipients' GSTR-2B as their purchases, which is a static auto-generated form showing the eligible ITC.
What is GSTR-2B Reconciliation?
GSTR-2B Reconciliation is matching the purchase ledgers of the recipient business with the GSTR-2B to identify discrepancies.
Why GSTR-2B Reconciliation is important?
Ideally, if every business reports their sales accurately, discrepancies would not arise between the GSTR-2B and purchase ledgers. However, there are multiple factors into play like late reporting, misreporting, returns and refunds etc. which lead to discrepancies frequently. This leads to mismatches, unclaimed ITC, and compliance issues making GSTR-2B reconciliation extremely important.
How to automate reconciliation?
GSTR-2B Reconciliation API enables businesses to reconcile their purchase ledger with the GSTR-2B in simple steps
- Create Create GSTR-2B Reconciliation Job
- Upload GSTR-2B and Purchase Ledger sheet JSON in the signed URLs
- Fetch Job Status
- Download Reconciliation Report