What is GST reconcialtion

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GST reconciliation is the process of matching the data between the company's financial records and the GST returns filed with the government.

GST reconciliation involves comparing the sales and purchase data in the financial records with the GST returns filed to ensure accuracy.
It helps in identifying any discrepancies or errors in the GST returns and rectifying them before filing the returns.
Reconciliation also involves matching the input tax credit claimed with the taxes paid to ensure compliance with GST laws.
Regular GST reconciliation helps in avoiding penalties and fines for incorrect filings.
Example: Reconciling the sales and purchase data in the company's accounting software with the GST returns filed on the GST portal.

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