Tally

Share on Facebook

Share on Twitter

Share on LinkedIn

Share on Email

Share More


In the previous article we have discussed GSTR-9C PART-1 and PART-II from S.No.5 to S.No.6. In this article we will discuss S.No.7 to 8 of PART-II and PART-III to PART-V and PART-B Certification

Sl.No.7. Reconciliation of Taxable Turnover


7

Reconciliation of Taxable Turnover

7A

Annual turnover after adjustments (from 5P above)

7B

Value of Exempted, Nil Rated, Non-GST supplies, No-Supply Turnover

7C

Zero rated supplies without payment of tax

7D

Supplies on which tax is to be paid by the recipient on reverse charge basis

7F

Taxable turnover as per liability declared in Annual Return (GSTR9)


Table 7 provides for reconciliation of taxable turnover from audited annual turnover after adjustments with taxable turnover as declared in Annual Return (GSTR-9).

Sl. No. 7A Annual turnover after adjustments (from 5P above)

This Sl. No. related to Annual turnover as derived in Table 5P above would be auto-populated here.

Sl. No. 7B. Value of Exempted, Nil rated, Non-GST supplies, No-Supply turnover

Value of Exempted, Nil rated, Non-GST and No-supply turnover shall be declared here. Value shall be reported net of credit notes, debit notes and amendments if any.

All supplies on which tax has not been charged except for exports and reverse charge supplies should be reported under this Sl.No.

Information can be obtained from credit side of P&L account. In case of a barter transaction, sale of fixed assets at loss etc would not appear in P&L account. Therefore, that information shall be obtained from Fixed assets schedule/stock register. Value of No-supply can be taken as reported in Books.

Sl.No. 7B essentially comprises the following 4 types of supplies:

1. Supplies taxable at a 'NIL' rate of tax;

2. Supplies that are wholly or partially exempted from CGST/SGST/IGST, by way of a notification; E.g.: Consultation fee received by Hospital, Diagnostic services provided by hospital Milk, water, education service, health care services, etc.,

Exempt supplies is defined u/s 2(47) CGST Act

'Exempt supply' means supply of any goods or services or both which attracts nil rate of tax or which may be wholly exempt from tax u/s-11, or u/s-6 of Integrated Goods and Services Tax Act, and includes non-taxable supply;

3. Non-Taxable supplies which are not leviable to tax under Act

Example-

Petrol, Diesel, Alcoholic liquor for human consumption

Non Taxable Supply is defined u/s 2(78) CGST Act-

'Non-taxable supply' means a supply of goods or services or both which is not leviable to tax under this Act or under Integrated Goods and Services Tax Act;

4. No supplies include activities covered under Schedule III which are neither a supply of goods nor a supply of services.

Examples-Sale of land, actionable claims etc.

Sl. No. 7C. Zero rated supplies without payment of tax

Value of zero-rated supplies (including supplies to SEZs) on which tax is not paid shall be declared here. Value shall be reported net of credit notes, debit notes and amendments if any.

As per Section- 2(23) IGST Act-

'Zero-rated supply' shall have the meaning assigned to it in section-16.

Zero rated supply as per section -16 of IGST Act having the means:

  1. Exports of goods/services or both.
  2. Supply of goods/services or both to SEZ developer/SEZ unit.

Zero-rated supplies may be supplied with payment of tax or without payment of tax upon filing a 'Letter of Undertaking'.

Taxable turnover as arrived from revenue recorded in Audited Annual Financial Statement should be reconciled with taxable turnover as declared in monthly returns/annual returns, only zero-rated supplies without payment of tax should be declared against Sl.No. 7C.

Sl No. 7D - Supplies on which tax is to be paid by recipient on reverse charge

Value of reverse charge supplies, on which tax is to be paid by Recipient shall be declared here. This shall be reported net of credit notes, debit note and amendments if any.

As per Section-2(98) CGST Act

'Reverse charge' means the liability to pay tax by recipient of supply of goods or services or both instead of supplier of such goods or services or both u/s-9(3)&(4) of CGST Act, or u/s-5(3)&(4) ofIGST Act;

It should be ensured that if supplier has turnover, which is liable to both forward charge and reverse charge then turnover which is liable to reverse charge should be accounted in FORM 7D.

Note:-

  1. Where supplier has charged tax in his invoice, whereas tax ought not to have been charged but paid by Recipient-

In this situation, where tax has been separately charged and shown in invoices, then such tax, if collected 'by supplier from recipient' ought to be paid to Government exchequer.

If such tax has not been paid, then it is recoverable u/s-76 CGST/SGST Act.

  1. Where supplier has paid tax on his outward supplies, which are liable to RCM.

In this situation, though Supplier has paid tax, it is not legally correct. Such supplies on which tax has been paid wrongly on forward charge, though liable to tax under RCM, will still have to be entered in Table 7D and deducted from Adjusted turnover to arrive at taxable turnover.

  1. If GTA is availing ITC and charging GST@12%., then said turnover would fall within the meaning of Taxable Turnover and not be declared under this Sl.No..
  2. Where GTA is neither charging GST nor availing ITC and GST is payable by Recipient under 'RCM', then said turnover will come under this Sl.No.
  3. Where a person provides services to a 'Body corporate with the capacity of Director' and also provides services to 'Other persons not as a Director', then services provided with the capacity of Director to body corporate will come under Sl.No.7D, whereas all other services provided by him will part of Taxable Turnover.

Sl.No.7E - Taxable turnover as per adjustments above (A-B-C-D)

Taxable turnover is derived as difference between Annual Turnover after adjustments declared in Table 7A above and sum of all supplies(Exempted, Non-GST, Reverse charge etc.) declared in Table 7B, 7C and 7D above. Amount will come auto populate in this Sl.No.

Sl. No. 7F - Taxable turnover as per liability declared in Annual Return (GSTR9)

Taxable turnover as declared in Table (4N 4G) + (10-11) of Annual Return (GSTR9) shall be declared here.

Value of taxable turnover which shall flow from GSTR 9 shall be declared here. The taxable turnover from GSTR 9 for Table 7F shall be as under-


4N. Supplies and advances on which tax is to be paid (H + M) above

XXXX

Less:- 4G. Inward supplies on which tax is to be paid on reverse charge Basis

XXXX

Add:- 10. Supplies / tax declared through Amendments (+) (net of debit notes)

XXXX

Less:- 11. Supplies / tax reduced through Amendments (-) (net of credit notes)

XXXX

Taxable turnover to be declared in Table 7F

XXXX


Sl. No.8 Reasons for Un - Reconciled difference in Taxable Turnover


8

Reasons for Un - Reconciled difference in taxable turnover

A B C

Reason 1

<>

Reason 2

<>

Reason 3

<>


Reasons for Non-reconciliation between adjusted Annual Taxable Turnover as derived from Table 7E above and Taxable Turnover declared in Table 7F shall be specified here.

This Sl.No. explains the reason for difference in taxable turnover as derived as per GSTR 9C(Audited Financials) and as per GSTR-9(Annual Return).

All information filled up in GST returns has to flow from Books of Accounts. However, Un-reconciled turnover on account of disclosure norms as per AS issued by ICAI or other statutory provisions or practices adopted by Registered Person on special approval basis, which are not reconciled at turnover level should be disclosed in this Sl. No.

Part III Reconciliation of Tax Paid

Sl.No.9 - Reconciliation of rate wise liability and amount payable thereon


Pt. III

Reconciliation of tax paid

9

Reconciliation of rate wise liability and amount payable thereon

Tax payable

Description

Taxable Value

Central tax

State tax

/ UT tax

Integrated Tax

Cess, if applicable

1

2

3

4

5

6

A

5%

B

5% (RC)

C

12%

D

12% (RC)

E

18%

F

18% (RC)

G

28%

H

28% (RC)

II

3%

J

0.25%

K

0.10%

L

Interest

M

Late Fee

N

Penalty

O

Others

P

Total amount to be paid as per tables above

Q

Total amount paid as declared in Annual Return (GSTR 9)

R

Un-reconciled payment of amount

PT 1


Table-9 requires Auditor to provide details of Taxable value along with Gross Tax Liability of Registered Person whose Form 9C is being filed by him.

Said tax liability needs to be reported Rate wise in Table 9. Further, taxable value and liability of tax on which given Registered Person is required to pay tax under RCM are also required to be reported rate-wise separately. After reporting of the same, details of Total tax payable for F.Y. 2017-18 as declared in GSTR 9(Annual Return) is also required to be disclosed.

Details of any liability of Interest u/s-50 of CGST Acts accounted for in books of accounts or any Late Fees for Late filing of GSTR 3B or penalty leviable under any relevant sections of Act, needs to be reported in this table.

If there is any amount which should not have been reported in monthly GST Returns (i.e. penalty u/s-129 CGST Acts for movement of goods without compliance of Rule 138 of CGST Rules) but accounted for in books of accounts and relating to GST should also be reported in given columns.

Note:-

  1. Ledger accounts for outward tax liability in Books of Accounts should be maintained GST Rate-wise. It will minimize the chances of errors in classification due to over-sight in books of accounts and shall ensure that data generated from books of accounts is correct and consistent.
  2. Rate of tax should also be mapped with HSN to ensure that errors of HSN classification are also minimized.
  3. Value of inward supply liable for RCM needs to be taken from books of accounts. Details need to be extracted from specific ledger accounts and head of expenses which have been identified as supplies liable for RCM.
  4. Reconciliation statement should be prepared monthly and in some cases yearly so that difference in Tax Payable and Tax Paid can be drilled down to Invoice Level. Only then can the interest be calculated correctly.
  5. Rate of tax on supply of goods and services has changed many times during the F.Y. 2017-18 , same tracks down the dates on which the changes were brought in various Sl.No.s of rate Notification.

Sl. No.10: Reasons for un-reconciled payment of amount


10

Reasons for un-reconciled payment of amount

A

Reason 1

<>

B

Reason 2

<>

C

Reason 3

<>


Reasons for Non-reconciliation between payable/liability declared in Table 9P above and amount payable in Table 9Q shall be specified here.

This mandates the Auditor to identify and disclose the reasons for Un-Reconciled payment of amount of tax, Interest, Penalty, Cess and Others. Reasons, amounts along with description of reason needs to be disclosed.

Auditor needs to identify the reasons due to which some amount is reflected in Table 9R. Reasons may be as under -

1. GSTR-1 matcheswith AuditedFinancials for Tax Payable but GSTR-3B shows short/excess taxpaid from Books of Account

In this situation, Table 6 and 8 may not show any differences as given in point (i) above, Table 10 would show a difference of amount of tax to be paid and tax actually paid. So, any tax payable occurring due to this would automatically form part of Table 11 and Auditor's recommendations in Part V.

In case any excess tax has been paid, there will be no reporting in Table 11. There is also no provision of negative reporting in Table 11.

2. GSTR-1 andGSTR-3B matching with each other butnot matching with AuditedFinancials Statement

Such differences should be depicted in Table 6, 8 and 10. If Turnover is lesser than what it is in audited financials, they could indicate a short payment of tax, if differences thereof are not explained. The cause of the differences needs to be clearly identified. Taking the values after considering the Audited Financial Statements Table 10 will be compared with Actual Tax Paid as per GSTR-3B.

As there is a difference between Audited Financial Statements and GSTR-3B, an un-reconciled difference would be shown in Table 10.

3. TaxableTurnoveras perbooksmatchingwith GSTR-1 andGSTR-3BbutTax Payable is notmatching in each other

Possible reasons for same may be because of difference in classification of supply in GSTR-1 and GSTR-3B.

Reporting shall be required in Table 10 only in such cases where an error has occurred in Form GSTR-3B due to reasons of classification as following -

  • HSN Disputes
  • GST rate disputes
  • Inter State v/s Intra State Supply
  • Place of Supply
  • Type of Supply Dispute- taxable, Exempt, Nil rated

As the amount of tax in Table 9P shall be calculated on the basis of turnover reported and shall be treated as correct. Any deviation from the same shall be disclosed in Table 10.

Sl. No. 11: Additional amount payable but not paid (due to reasons specified under Tables 6, 8 and 10 above)


11

Additional amount payable but not paid (due to reasons specified under Tables 6,8 and 10 above)

To be paid through Cash

Description

Taxable Value

Central tax

State tax

/ UT tax

Integrated tax

Cess, if applicable

1

2

3

4

5

6

5%

12%

18%

28%

3%

0.25%

0.10%

Interest

Late Fee

Penalty

Others

(please specify)


Any amount which is payable due to reasons specified under Table 6, 8 and 10 above shall be declared here.

Amount of tax, interest, penalty, late fees and other dues which are payable in accordance with Non-Reconciliation reported under Table 6, 8 and 10 but not actually paid as declared in GSTR-9(Annual Return) are to be reported with Rate-wise bifurcation.

PART-IV

Reconciliation of Input Tax Credit (ITC)

Sl.No.12- Reconciliation of Net Input Tax Credit (ITC)


Pt. IV

Reconciliation of Input Tax Credit (ITC)

12

Reconciliation of Net Input Tax Credit (ITC)

A

ITC availed as per audited Annual Financial Statement for the State/ UT (For multi-GSTIN units under same PAN this should

be derived from books of accounts)

B

ITC booked in earlier Financial Years claimed in current Financial Year

(+)

C

ITC booked in current Financial Year to be claimed in subsequent Financial Years

(-)

D

ITC availed as per audited financial statements or books of account

E

ITC claimed in Annual Return (GSTR9)

F

Un-reconciled ITC

ITC 1


Sl.No.12A. ITC availed as per Audited Annual Financial Statement for the State/UT (For multi-GSTIN units under same PAN this should be derived from books of accounts)

ITC availed (after reversals) as per Audited Annual Financial Statement shall be declared here. There may be cases where multiple GSTINs (State-wise) registrations exist on same PAN. This is common for persons/entities with presence over multiple States.

Such persons/entities would have to internally derive their ITC for each individual GSTIN and declare the same here.

It may be noted that reference to Audited Annual Financial Statement includes reference to books of accounts in case of persons/entities having presence over multiple States.

Sl.No.12A is the detail of ITC availed in Audited Financial Statements. This shall be the total ITC including one availed in books of accounts on Inputs, Input Services and Capital Goods.

Sl.No.12B. ITC booked in earlier Financial Years claimed in current Financial Year

Any ITC which was booked in Audited Annual Financial Statement of earlier F.Y.(s) but availed in ITC ledger in F.Y. for which the reconciliation statement is being filed for shall be declared here.

This shall include transitional credit, which was booked in earlier years but availed during F.Y.2017-18.Details shall be drawn from TRAN-I, which were booked in earlier periods and not availed during the year.

This is the first year of GST, this column should was booked in earlier years but availed during F.Y.2017-18, the same would be required to be reported here.

However, from next year onwards, this column would have the same amount as is reported in column 12C of Form 9C of previous F.Y. ,same should be auto populated by the system.

Sl.No.12C. ITC booked in current Financial Year to be claimed in subsequent Financial Years

Any ITC which has been booked in Audited Annual Financial Statement of current F.Y. but the same has not been credited to ITC ledger for said F.Y. shall be declared here.

All amounts which are debited in 'Books of Accounts' but not claimed as Credit should be reported here.

This Sl.No. required to declare the amount of ITC which is booked in current F.Y. but claimed in GSTR 3B filed during F.Y. 2018-19.

This Sl.No.'s amount should be equal to the amount reported in Clause-13 of GSTR 9.

However, amount of Credits relating to F.Y.2017-18 which are booked in F.Y.2018-19 only in Books of Accounts shall be subtracted from such reported amount in Clause-13 of GSTR-9.

Sl.No.12D.ITC availed as per audited financial statements or books of account

This Sl.No. would be auto-populated.

Sl.No.12E. ITC claimed in Annual Return (GSTR-9)

Net ITC available for utilization as declared in Table 7J of Annual Return(GSTR-9) shall be declared here.

Sl.No.12F. Unreconciled ITC

This Sl.No. provides the difference between ITC as computed from Books of Account in Sl.No.12D and ITC as claimed for F.Y. in Clause 7J of Annual return.

Sl.No.13- Reasons for un-reconciled difference in ITC


13

Reasons for un-reconciled difference in ITC

A B

C

Reason 1

<>

Reason 2

<>

Reason 3

<>

Reasons for Non-Reconciliation of ITC as per Audited Annual Financial Statement or Books of Account (Table 12D) and net ITC (Table12E) availed in Annual Return (GSTR-9) shall be specified here.

This Sl.No. seeks reasons from Books of Accounts and claims in GSTR-9 for difference. If difference is 'Positive', possible reasons of difference should primarily include -

  1. Amount of ITC for F.Y. claimed in Table-13 of Annual return form which is amount of ITC claimed in returns of subsequent year for F.Y.
  2. Amount of ITC available but not availed which can be divided in two further categories:
  • Ineligible ITC not availed in return
  • ITC which has lapsed as not availed

In case difference is 'Negative', this is a clear indication that ITC claimed more than available ITC. Following reason could be possible :-

  1. ITC of another GSTIN claimed in returns of GSTIN under audit
  2. IGST on imported goods used as FOC replacement warranty (customs duty + IGST paid by Exporter of original equipment.
  3. Duplicate ITC availed
  4. ITC of subsequent year, where goods/services were received later but their invoice was received prior was availed.

Sl.No.14. Reconciliation of ITC declared in Annual Return (GSTR-9) with ITC availed on expenses as per Audited Annual Financial Statement or Books of Account


14

Reconciliation of ITC declared in Annual Return (GSTR9) with ITC availed on expenses as per audited Annual Financial Statement or books of account

Description

Value

Amount of Total

ITC

Amount of eligible ITC

availed

1

2

3

4

A

Purchases

B

Freight / Carriage

C

Power and Fuel

D

Imported goods (Including received from SEZs)

E

Rent and Insurance

F

Goods lost, stolen, destroyed, written off or disposed of by way of gift or free samples

G

Royalties

H

Employees' Cost (Salaries, wages, Bonus etc.)

I

Conveyance charges

J

Bank Charges

K

Entertainment charges

L

Stationery Expenses (including postage etc.)

M

Repair and Maintenance

N

Other Miscellaneous expenses

O

Capital goods

P

Any other expense 1

Q

Any other expense 2

R

Total amount of eligible ITC availed

<>

S

ITC claimed in Annual Return (GSTR9)

T

Un-reconciled ITC

ITC 2


This table is for Reconciliation of ITC declared in Annual Return(GSTR-9) against the expenses booked in Audited Annual Financial Statement or Books of Account. Basically it is detailed examination of Books of accounts to establish that registered person has taken only eligible ITC.

Various sub-heads specified under this table are general expenses in Audited Annual Financial Statement or Books of Account on which ITC may or may not be available.

Nomenclature of ledgers may be different as per Books of Accounts of Registered person, this is only an indicative list of heads under which expenses are generally booked. It may add or delete any of these heads but all heads of expenses on which GST has been paid/was payable are to be declared here.

Sl.No.14R. Total amount of eligible ITC availed

Total ITC declared in Table 14A to 14Q above shall be auto populated here.

Sl.No.14S. ITC claimed in Annual Return (GSTR-9)

Net ITC availed as declared in Annual Return(GSTR-9) shall be declared here. Table 7J of Annual Return(GSTR-9) may be used for filing this Table.

Note-

Auditor should undertake the detailed examination of all expense in asset ledger to ensure that above values are correctly filed by Registered person.

It is possible that in the absence of a detailed examination of each expense, such reporting of eligible ITC may not be reported correctly by Auditor.

Eligible ITC shall then be compared with the ITC availed in GSTR 9 and differences thereof have to be explained by the registered person.

Sl.No.15.Reasons for un-reconciled difference in ITC


15

Reasons for un - reconciled difference in ITC

A B C

Reason 1

<>

Reason 2

<>

Reason 3

<>

Reasons for Non-reconciliation between ITC availed on various expenses declared in Table 14R and ITC declared in Table 14S shall be specified here.

This column is auto populated as it is a calculation of difference between Table 14R and 14S.

This is the differential amount between eligible availed ITC and availed ITC. Difference can arise on any of the following reasons

  • Ineligible ITC availed by Registered person
  • ITC booked in Books of Accounts but not availed including ineligible ITC not availed (lapsed)

In case of a Negative amount, such difference may arise due to ITC booked in books of accounts but availed in return GSTR 3B of the subsequent year. This can be correlated with point 13 of GSTR-9.

Sl.No.16.Tax payable on un-reconciled difference in ITC (due to reasonsspecified in 13 and 15 above)


16

Tax payable on un-reconciled difference in ITC (due to reasons specified in 13 and 15 above)

Description

Amount Payable

Central Tax

State/UT Tax

Integrated Tax

Cess

Interest

Penalty


Any amount which is payable due to reasons specified in Table 13 and 15 above shall be declared in this Sl.No.

This column captures tax which is to be paid on account of differences identified in Table 13 and 15 above. Taxes paid in this Table should be equal to total of differences of two tables (when positive). It is important to note that Table also demand computation of interest and penalty on such ITC differential.

Part-V

Auditor's Recommendation on additional liability due to non-reconciliation


Pt. V

Auditor's recommendation on additional Liability due to non-reconciliation

To be paid through Cash

Description

Value

Central

tax

State tax

/ UT tax

Integrated tax

Cess, if applicable

1

2

3

4

5

6

5%



12%

18%

28%

3%

0.25%

0.10%

Input Tax Credit

Interest

Late Fee

Penalty

Any other amount paid for supplies not included

in Annual Return


Part-V consists of Auditor's recommendation on additional liability to be discharged by Taxpayer due to Non-reconciliation of Turnover or Non-reconciliation of ITC. This part of Form 9C is the outcome of independent review by an Auditor.

Auditor shall also recommend if there is any other amount to be paid for supplies not included in Annual Return.

Any refund which has been erroneously taken and shall be paid back to Government shall also be declared in this table.

Any other outstanding demands which is recommended to be settled by Auditor shall be declared in this Table.

Towards the end of return, Taxpayers shall be given an option to pay any additional liability declared in this form, through FORM DRC-03. It may be noted that such liability shall be paid through electronic cash ledger only.

Reasons for additional tax liability

  1. Due to Non-Reconciliation of Turnover or Tax liability (including RCM) between Audited Financial Statements & Annual Returns (as per Table 11 of GSTR 9C)
  2. Due to Non-Reconciliation of ITC between Audited Financial Statements &Annual Returns (as per Table 16 of GSTR-9C)
  3. Any other amount to be paid for supplies not included in Annual Return
  4. Erroneous refund
  5. Outstanding demands to be settled
  6. Interest, Penalty and Late fees
  7. Other

Mechanism of payment of Additional Tax Liability

There are no such provisions under GST law which prescribes the mechanism of payment of Additional Tax Liability that may arise out of reconciliation.

However, upon the analysis of form it can be seen that it requires mandatory payment of differential tax liability in Cash. It does not permit utilization of the balance in Electronic Credit Ledger for such payments.

Additional Tax Liability can be paid through Form DRC-03. If such tax is already paid through Form DRC-03 while reconciling Form GSTR-9, the same difference arising in Form GSTR 9C should not be subjected to additional liability as per Auditor's recommendations in Part V of Form GSTR-9C.

Understanding 'Verification' under GSTR-9C

I. In terms of Rule 80(3) of the CGST rules, 2017 the relevant 'verification' portion to the Reconciliation Statement in Form GSTR 9C reads as under:

II. Verification part of said GSTR-9C is quite crucial in so far as GST Auditor is concerned. Several important words and phrases are used in this part, such as 'solemnly affirm, declare, true and correct, knowledge and belief, conceal etc.' An understanding of the true import of these words is crucial for understanding the manner in which Auditor is expected to meet his professional obligation.

III. Certificate and Report:

A certificate is a written confirmation of the accuracy of the facts stated therein and does not involve any estimate or opinion. It is certification of factual accuracy of what is stated therein.

A report is a formal statement usually made after an enquiry, examination or review of specified matters under report and includes the reporting an opinion thereon. It is giving an opinion based on factual data and that is arrived at by the application of due care and skill.

4. Verification of registered person

Verification

I hereby solemnly affirm and declare that the information given herein above is true and correct to the best of my knowledge and belief and nothing has been concealed there from.

**Signature and stamp/seal of Auditor

Place:
Name of Signatory
Date:
Membership No.
Full address
Verification of registered person:

I hereby solemnly affirm and declare that I am uploading the reconciliation statement in FORM GSTR-9C prepared and duly signed by the Auditor and nothing has been tampered or altered by me in the statement. I am also uploading other statements, as applicable, including financial statement, profit and loss account and balance sheet etc.

Signature
Place:
Date:Name of Authorized Signatory:
Designation/status

Above has been inserted in revised Form GSTR 9C to enable the taxpayer to upload GSTR- 9C certified by Auditor as there is no separate online filing portal available from which the auditor may independently upload the GSTR 9C.

Part B - GSTR 9C Certification

1. Certification in cases where the reconciliation statement (FORM GSTR 9C) is drawn up by the person who had conducted the audit

Hierarchy of Clauses for Certification

Step-1: 'Examine' the 'financials'

Step-2: Based on such 'Audit', report that books of account, etc. under GST Acts 'have or have not been maintained'

Step-3: Report the observations/comments/discrepancies/inconsistencies, if any:

Step-3(b): Report further whether:

Step-3(b) (A): Information and explanations has/has not been obtained, which were necessary

Step-3(b) (B): Proper books of accounts have/have not been kept

Step-3(b) (C): Financials are/are not in agreement with the books of accounts maintained at Principal place of business and additional place of business with in State

Step-4: State whether GSTR 9C and other relevant documents are annexed

Step-5: Declaration regarding Particulars in GSTR 9C are 'true and correct' subject to observations/ qualifications:

Step-6: Signature and Stamp and Seal of Auditor duly disclosing the membership no.,date, place and full address

2. Certification in cases where the reconciliation statement in (GSTR 9C) is drawn up by a person other than the person who had conducted the audit of the accounts

Hierarchy of Clauses for Certificate

Step-1: Declaration that Audit conducted by another Auditor and a copy of Audit Report and Financials to be annexed

Step-2: report whether books of account, etc. under Act have/have not been maintained;

Step-3: State whether GSTR 9C is annexed

Step-4: Declaration regarding examination of books of accounts and other relevant documents with observation/explanation, if any

Step-5: Signature and Stamp and Seal of Auditor duly disclosing the Membership No., date, place and full address

Disclaimer: The contents of this article are solely for informational purpose. It does not constitute professional advice or a formal recommendation. No part of this article should be distributed or copied without express written permission of the author.

The author can also be reached at ruchitnsl@gmail.com


Tags :



Category GST, Other Articles by - Ruchit Agarwal 



Comments


update