GST annual return and reconciliation
GSTR-9 and the self-certified reconciliation in GSTR-9C.
The annual return and, where it applies, the reconciliation statement — consolidating the year's returns, reconciling them to the audited accounts, and disclosing the differences properly rather than filing a summary that does not tie to the books.
The law it sits under.
Section 44 of the CGST Act, 2017 read with Rule 80 of the CGST Rules, 2017. The annual return is Form GSTR-9. Where turnover exceeds the prescribed limit, a self-certified reconciliation statement in Form GSTR-9C is required with it — since it became self-certified, the responsibility for the reconciliation sits with the taxpayer rather than with a certifying auditor, which has raised rather than lowered the standard of working papers needed.
Every registered person, with exceptions including a person paying tax under the composition scheme, who files a different annual return, and casual and non-resident taxable persons. Filing is optional below the turnover threshold prescribed for GSTR-9, and the reconciliation statement in GSTR-9C applies only above its own, higher threshold. The thresholds are notified and have changed, so we confirm them for the year rather than working from the previous year's position.
How the work runs.
Consolidate the year's outward supplies from the monthly and quarterly returns, and reconcile the total to the turnover in the audited accounts.
Explain each difference by reason — timing, credit notes, non-GST income, supplies reported in the wrong period — rather than leaving a residual.
Reconcile input tax credit claimed to the auto-populated statement and to the purchase ledger, and identify what was reversed and re-claimed during the year.
Reconcile tax paid across cash and credit ledgers to the returns and to the accounts.
Quantify anything that should have been paid and was not, and pay it with interest before filing, which is materially cheaper than being assessed for it.
Complete the annual return, and the reconciliation statement where it applies, with working papers that stand behind every reported difference.
File, and give you a note on the differences found and what to change in the coming year.
The deliverables.
- Turnover reconciliation
- Returns to books, with each difference explained and evidenced.
- Credit reconciliation
- Credit claimed, reversed and available, tied to the statement and the ledger.
- Additional liability working
- What is payable with interest, and why.
- Returns filed
- GSTR-9, and GSTR-9C where applicable, filed with the working papers retained.
- Improvement note
- The recurring causes of difference, and the process fix for each.
All returns filed for the year · audited financial statements with the turnover schedule · trial balance mapped to GST heads · purchase and sales registers · credit and debit notes issued and received · e-way bill data where relevant · auto-populated credit statements for each month · records of reversals · previous year's annual return and reconciliation.
Key dates
The annual return for a financial year is ordinarily due on 31 December following the year end, and it has been extended by notification in several years. It matters more than its own due date suggests: the time limit for claiming input tax credit for the year is tied to it, so an annual return filed at the last moment leaves no room to act on what the reconciliation finds.
Statutory dates change by notification and circular. We confirm the operative date for your year rather than quoting the ordinary one.
Tell us the specifics.
Include the entity type, the assessment or financial year concerned, and any notice or reference number — it lets us give you a useful answer first time.