GSTR-2B and Books Credit Reconciliation in Tally Prime 4.0
GST reconciliation is always a crucial process and has numerous challenges. Even when you use software or other methods, achieving 100% accuracy is not there. Now, Tally has also introduced this feature.
How to Do GSTR-2B and Books Credit Reconciliation in Tally
The Goods and Services Tax (GST) compliance landscape in India necessitates the accurate reconciliation of GSTR-2B with the books of accounts. This process is critical for businesses to ensure they claim the correct input tax credit (ITC) and maintain GST compliance.
Tally PRIME 4.0, a leading accounting software, offers a streamlined process for reconciling GSTR-2B with your books of accounts. Here's a step-by-step guide on how to effectively carry out GSTR-2B reconciliation in Tally.
Step 1: Download the GSTR-2B JSON File
The first step in the reconciliation process is to download the GSTR-2B JSON file from the GST portal. This file contains details of the input tax credit available to the taxpayer for a particular period.
Step 2: Import GSTR-2B into Tally PRIME 4.0
• Open Tally PRIME 4.0 and press Alt+O to access the GST return section.
• Select your GST number and set the return type to GSTR-2B.
• Provide the file path and select the downloaded GSTR-2B JSON file.
• To verify the import of GSTR-2B data, navigate through Display More Reports > Statutory Reports > GST Reports in Tally.
Understanding the Reconciliation Process
Tally PRIME 4.0 flags all unreconciled transactions in different categories, facilitating the identification of mismatches. These categories help users understand whether invoices:
• Are not uploaded by suppliers.
• Are not accounted for in the books.
• Have mismatches in the return period.
• This categorization aids in resolving discrepancies, ensuring that all input tax credits are accurately accounted for.
Dealing with Mismatches
Mismatches can occur for various reasons, such as differences in the transaction date, which may lead to invoices appearing in different return periods for the business and its suppliers.
Users can drill down into each category to examine transaction details further, aiding in the detailed analysis and reconciliation process.
Tally PRIME 4.0’s intelligent reconciliation solution identifies such positional mismatches, grouping them separately for users to take necessary corrective actions.
Conclusion
Reconciling GSTR-2B with your books of accounts in Tally PRIME 4.0 is a straightforward process that significantly aids in maintaining GST compliance and ensuring accurate input tax credit claims. By following the steps outlined above, businesses can efficiently manage their GSTR-2B reconciliation, addressing any mismatches or discrepancies with ease. This process not only streamlines GST compliance but also supports the financial health and operational efficiency of the business.
Are you using it, and what challenges have you faced, or how has it been helpful? Share your experience. What other methods are you using for reconciliation? Like any other software, Excel Macro, Power BI, Automation Software, your in house automated working?
Disclaimer: This material and the information contained herein is intended for clients and other Chartered Accountants to provide updates and is not an exhaustive treatment of such subject. We are not, by means of this material, rendering any professional advice or services. It should not be relied upon as the sole basis for any decision which may affect you or your business.
