Reconciling GST and Income Tax Across Years
A wholesale distributor in Kolkata discovered material mismatches between its GST returns, income tax filings, and books of account built up over several years. The inconsistencies raised the risk of notices and demands, and made the accounts unreliable for both financing and decision-making.
A clear-eyed look at where they stood.
A wholesale distributor in Kolkata discovered material mismatches between its GST returns, income tax filings, and books of account built up over several years. The inconsistencies raised the risk of notices and demands, and made the accounts unreliable for both financing and decision-making.
CapEasy carried out a multi-year reconciliation across GST, income tax, and the financial statements — identifying the sources of divergence, correcting returns where required, and aligning turnover, credit, and tax positions into a single consistent picture. We documented the corrections to withstand any future departmental review.
The outcome
The company’s GST, income tax, and book positions were reconciled and brought into alignment, reducing exposure to notices and giving management reliable numbers to work from. A recurring reconciliation discipline was put in place.
This describes work CapEasy delivered in a real engagement; the client’s name is withheld to protect their confidentiality. Outcomes vary by company, sector and stage; nothing here is a promise of a similar result. CapEasy is a private consultancy and is not affiliated with any government authority.