6 years of filings cleared
Case Study · Manufacturing · ₹42L demand dropped to nil
Three-year GST scrutiny closed without litigation
A scrutiny notice covering three financial years alleged input credit mismatch and short payment. Reconstruction of the credit trail and a documented representation closed the proceedings with no demand confirmed and no appeal filed.
₹42L
Proposed demand dropped
0
Appeals filed
3 FYs
Reconciled and closed
100%
GSTR-2B matched post-engagement
The situation
- GSTR-3B, GSTR-2B and the purchase register had never been reconciled at invoice level.
- Credit reversals under rule 42/43 and section 17(5) were computed on estimates.
- Two of three plants held vendor documentation in separate, uncontrolled folders.
What we did
- Rebuilt an invoice-level reconciliation for 36 months across all three registrations.
- Segregated genuinely ineligible credit, timing differences and vendor-side filing defaults.
- Recovered filing evidence from vendors for the disputed value and indexed it as a paper book.
- Drafted and presented the reply with a computation annexure the officer could verify line by line.
Measured outcome
- The proposed demand of ₹42 lakh was dropped in full at the adjudication stage.
- Voluntary reversal of ₹3.1 lakh of genuinely ineligible credit was paid with interest, closing exposure.
- A monthly 2B reconciliation is now a closing control before every GSTR-3B filing.
Governance shift
Input credit moved from an estimate reviewed at notice time to a monthly control with named ownership and retained evidence.
“The reply was built on our own records, reconciled line by line. That is what closed it.”
Ready to put governance on a schedule?
Book a consultation or start with a free compliance health check for your business.