Matching of GSTR 2A with GSTR 3B

|Updated on: June 28, 2022

Need for matching of GSTR 2A with GSTR 3B

The return in Form GSTR 2A is generated by the system on the basis of information received  GSTR 1 (sales details). When the supplier of the assessee files GSTR 1 in any particular month, its details are captured by GSTR 2A thus providing the details of purchases of the assessee concerned.

And since ITC claimed in GSTR 3B should ideally match with ITC available on all the purchases made by an assessee, a mismatch can be detected by comparing the details in these two forms which necessitate a reconciliation process between these two returns to be carried out.

Invoice mismatch cases between GSTR 2A and GSTR 3B

Invoice mismatch between GSTR 2A and GSTR 3B may arise due to one of the following reasons understated:

Case 1

The supplier has not uploaded invoices for which the recipient have already claimed input tax credit by submitting the tax summary in his GSTR 3B return.

Case 2

On account of the discrepancy of claim w.r.t., declaration by the supplier in his valid return.

Case 3

On account of duplication of claim of ITC by recipient.  

How to reconcile GSTR 3B and GSTR 2A?


Who has to rectify

What action needs to be taken

On supplier failing to upload the invoice or on account of discrepancy with respect to the declaration by the supplier in his valid return GSTR 1

The supplier has to rectify in GSTR 1 return

Ideally, the receipt should follow-up with the supplier and ask him to upload

When the supplier does not upload invoice:

The buyer will be eligible to avail maximum  20% of matched ITC.

On account of duplication of claim of ITC by the recipient

The recipient has to take action

This needs to be rectified by the recipient in his subsequent return

Why GSTR 2A reconciliation becomes important?

  • What to reconcile?

The reconciliation process primarily involves matching the data uploaded by the suppliers with those of the recipient’s purchase data. This includes comparing the auto-populated GSTR 2A from the supplier’s data and the purchase data recorded by the receiver of the supplies.

  • Why GSTR 2A reconciliation?

It is very important to reconcile GST returns data because under the new GST returns, the taxpayers will only be able to claim ITC if the particular invoice is present in the GSTR 2A or supplier’s data. This situation forces the businesses to reconcile and claim ITC correctly.

This matching concept also helps in verifying whether all the transactions which took place in a particular period have been recorded and posted in summary return GSTR 3B with correct values.

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