Unreconciled balances are where error and fraud hide — the bank that doesn't match, the debtor nobody follows up, the GST credit that doesn't reconcile. We reconcile everything, investigate every difference, and clear them. Not carried forward. Cleared.
Reconciliation is the systematic matching of two records that should agree — the books vs the bank statement, the GST returns vs the books (GSTR-1/3B vs 2B), debtor balances vs customer statements, creditor balances vs vendor statements, intercompany balances across group entities. Differences are identified, investigated, and resolved.
The value isn't the matching — it's the investigation. A difference is a symptom: of error, of timing, of leakage, occasionally of fraud. Professional reconciliation treats every material difference as a question demanding an answer, and the answers are where the real value lies.
Companies whose auditors qualify or comment on unreconciled balances — the audit report is telling you what diligence will find. Businesses where the bank balance and book balance have "always differed" and nobody knows why.
GST-registered companies with 2B mismatches — input credit at risk when GSTR-2B doesn't reconcile to books and GSTR-1. And groups with intercompany balances that never quite eliminate on consolidation.
Every bank account, every month, matched to the penny. Unpresented cheques, bank charges, direct credits — identified and accounted. The book-bank difference explained, always.
GSTR-1 vs books, GSTR-3B vs books, GSTR-2B vs purchase register — the full triangle. Mismatches investigated: vendor non-filing, timing, classification. Input credit protected by catching vendor defaults early.
Customer and vendor balances confirmed and reconciled. Old outstanding flagged for action — the debtor ageing that drives collections, the creditor balances that hide duplicate payments.
Group balances matched across entities, differences resolved before consolidation. Eliminations that actually eliminate.
Historical backlogs cleared — the six months (or years) of unreconciled balances brought current, with root-cause fixes so they don't recur.
Monthly retainer by volume and complexity; one-time backlog cleanups quoted separately as projects. Most cleanups complete in 4–8 weeks depending on backlog depth.
Ongoing reconciliation runs on the monthly close calendar — it's part of the close, not an afterthought.
The "reconciliation reserve" or suspense account where differences go to die. Every parked difference is an unanswered question — and unanswered questions compound. We don't park; we resolve.
Twelve months of differences investigated at once is archaeology, not control. Monthly reconciliation catches issues while the trail is warm.
Vendor didn't file, credit doesn't flow, and nobody follows up until the annual return. Monthly 2B reconciliation with vendor follow-up protects real money.
Which reconciliations, which periods, what backlog exists. Quoted as a project or retainer.
Matching, investigation, resolution — differences cleared with documentation.
Reconciliation statements with every difference explained or actioned. No mysteries.
Monthly rhythm established; root causes fixed so backlogs don't rebuild.
Auditors test reconciliations; they don't perform your monthly control. If the books aren't reconciled before audit, the auditor either qualifies or charges to do it.
As far as records exist. Older periods take longer, but the discipline is the same. We prioritise by materiality.
Lost input credit — real cash. If vendors don't file or misreport, your credit doesn't materialise. Monthly reconciliation catches it while follow-up works.
No — statements suffice. We never ask for transaction credentials.
Yes — backlog cleanups are projects. But without the monthly rhythm, backlogs rebuild. We recommend both.
Project fee for cleanups; monthly retainer for ongoing. Both fixed and quoted upfront.
Bank, debtors, creditors, GST (2B vs books), and intercompany — in that order of cash impact.
Aged, investigated, then cleared or provided for — under a monthly protocol you approve. Mystery balances don't age well.
Yes — and it's where we find the most leakage: TDS deducted by clients but never claimed. Real money, routinely left on the table.
Every balance agreed to external evidence or explained with an ageing schedule. 'Substantially reconciled' is not a deliverable we offer.
Talk to a partner about your situation — no pitch, no obligation. If we're not the right firm for it, we'll tell you that too.
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