GST 2B & ITC Leakages: The Monthly Reconciliation System Every Business Needs
Most ITC loss doesn’t happen because you “forgot to claim”. It happens because vendor data + timing doesn’t match your books. A CFO setup creates a monthly system that prevents ITC leakage and reduces GST stress.
Missing credits, wrong GSTIN, wrong invoice numbers, vendor non-filing — all become visible early.
What is GSTR-2B, practically?
GSTR-2B is a system-generated statement of input tax credit available for a period, based on what your vendors have reported (and what is eligible). In real operations, the finance question becomes simple:
“If an invoice is in our books, is it reflecting in 2B — and is it eligible?”
Common ITC leakage causes (SME reality)
- Vendor filed late / did not file returns
- Wrong GSTIN in invoice
- Invoice number/date mismatch
- Credit note mismatch not tracked
- Duplicate booking (same invoice twice)
- Blocked credit / ineligible ITC mistakenly counted
Interactive: Estimate ITC Leakage Risk
Enter rough monthly numbers. We’ll show potential leakage exposure and priorities.
We implement monthly 2B reconciliation trackers + vendor follow-up workflows as part of compliance and CFO engagements.
Monthly GST 2B Reconciliation SOP (CFO style)
This is the system we implement so ITC doesn’t get “missed” silently. Treat it like a monthly close process:
Step 1: Data discipline
- Ensure GSTIN, invoice no, date, taxable value, GST amount are captured correctly
- Standard vendor master and lock GSTIN edits
- Separate RCM, imports, ISD, and ineligible ITC buckets
Step 2: Reconciliation
- Download 2B and map to purchase register
- Classify exceptions: Missing in 2B / Missing in books / Value mismatch / GSTIN mismatch
- Prepare vendor-wise follow-up list with due dates
Step 3: Follow-up governance
- Owner assigned per vendor (AP executive / purchase owner)
- Stop-payment/hold policy for non-compliant vendors
- Monthly review: top mismatch vendors + closure proof
Step 4: Reporting & audit readiness
- ITC claimed vs eligible vs pending
- Ageing of pending ITC
- Evidence vault: emails, confirmations, vendor filings proof
Vendor follow-up tracker (minimum columns)
| Vendor | Invoice | Mismatch type | ITC amount | Owner | Due date | Status | Closure proof |
|---|---|---|---|---|---|---|---|
| ABC Traders | INV-1023 | Missing in 2B | ₹ 18,540 | AP Exec | 10th next month | Open | Email + vendor filing screenshot |
| XYZ Services | XS-88 | GSTIN mismatch | ₹ 7,200 | Purchase Owner | 7 days | In progress | Revised invoice received |
Want GST compliance to feel “controlled” instead of stressful?
We set up monthly reconciliation systems, approval workflows, and dashboards — so your finance team stops reacting and starts managing.