Goods & Service Tax Reconciliation Tax Difference.

Hello Everyone,

I Have a query regarding Goods & Service Tax, I have a raise a Tax Invoice march - 2021

Basic Amount = 634968.14   GST Amount = 177791.08  28%   Total Invoice = 812759  

But change in purchase tax difference in some items 28% to 18%

Filed IN GSTR-1 & GSTR-3B march

Basic Amount = 634968.14   GST Amount = 173976.84  28%   Total Invoice = 808945 

Tax Difference is = 3814/-

Party used Input Tax Credit against 812759

We paid tax against 808945

What is the way to repay 3814 to party account .

Replies (3)
Quick Summary
This discussion addresses a Goods & Service Tax (GST) reconciliation issue where a tax invoice for March 2021 had a higher GST amount than what was ultimately filed in GSTR-1 and GSTR-3B due to a change in tax rate for some items. The user is seeking guidance on how to repay the resulting £3814 tax difference to the party who used the input tax credit based on the original invoice amount, and what journal entry to use for this adjustment.

Pay the excess tax liability in next return

What is the journal entry for this adjustment?

Input GST a/c dr
to Bank a/c

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