GSTR-9C Table 6 unreconciled turnover reasons audit format

Annual GST compliance requires aligning revenue reported in audited financial statements with turnover declared in periodic returns. While Table 5 of Form GSTR-9C lists specific adjustments like unbilled revenue and advances, any residual gap between adjusted turnover in Table 5N and annual return turnover in Table 5P generates an unreconciled turnover figure in Table 5Q. Taxpayers must explain this exact difference in Table 6 before completing filing.

Statutory mandate under Section 44 and Rule 80(3)

The requirement to furnish a reconciliation statement originates from the statutory framework of the GST law. Under Section 44 of the CGST Act, every registered person, other than an Input Service Distributor or persons deducting tax under section 51 or 52, must furnish an annual return that may include a self-certified reconciliation statement.

Procedural requirements are set out in Rule 80(3) of the CGST Rules, which mandates that taxpayers with aggregate turnover exceeding five crore rupees in a financial year must furnish a self-certified reconciliation statement in Form GSTR-9C along with the annual return. Unlike earlier provisions under Section 35(5) that mandated Chartered Accountant certification, taxpayers now prepare and self-certify Form GSTR-9C directly on the GST common portal.

Taxpayers also need to cross-check related reconciliation sections, such as GSTR-9C reconciliation statement applicability and input credit checks discussed in our guide on GSTR-9C Table 12 unreconciled ITC reasons.

How Table 5 feeds into Table 6

Table 6 cannot be understood in isolation from Table 5. The workflow in Part II of Form GSTR-9C operates in a strict sequence:

1. Table 5A: Gross turnover as per audited financial statements for the GSTIN.
2. Tables 5B to 5O: Prescribed statutory additions and deductions (such as unbilled revenue, unadjusted advances, trade discounts, and deemed supplies).
3. Table 5N: Annual turnover after all prescribed adjustments.
4. Table 5P: Annual turnover declared in Form GSTR-9 Table 5N plus Table 10 minus Table 11.
5. Table 5Q: Unreconciled turnover, calculated automatically as Table 5Q = Table 5N minus Table 5P.
6. Table 6: Text field where the taxpayer enters reasons for the non-zero amount in Table 5Q.

As documented in the GSTN GSTR-9 user manual, data declared in the annual return forms the base for annual verification across portal tables.

Common reasons for unreconciled turnover in Table 6

When Table 5Q shows a non-zero figure, the audit working paper must classify the discrepancy into verifiable legal categories:

1. Profit or loss on sale of capital goods: Financial accounts record only the net profit or loss in the profit and loss statement under accounting standards. In contrast, GST turnover reports either the transaction value or consideration received under Section 18(6).
2. Notice pay recovery from employees: Recoveries deducted from departing employee salaries appear as income or expense credits in books. Following official clarification, notice pay is an employer-employee transaction outside the scope of supply under Schedule III, creating a permanent turnover difference.
3. Government subsidies and financial incentives: Subsidies from central or state governments that do not form part of transaction value under Section 15(2)(e) are credited to financial revenue but excluded from GST taxable turnover.
4. Foreign exchange rate fluctuations: Unrealised exchange gains or losses recorded at year-end under accounting standard AS 11 or Ind AS 21 affect book turnover without creating any supply event under GST.
5. Turnover of other GSTINs under the same PAN: Multi-locational entities sharing a single audited balance sheet may have small inter-unit apportionments where standalone trial balance figures differ slightly from State-specific returns.

Worked example: Table 6 audit working paper

Consider Shiva Fasteners Private Limited, an industrial manufacturer in Pune with aggregate turnover of ₹8,40,00,000. In audited accounts, gross revenue is ₹8,40,00,000. During GSTR-9 preparation, total turnover declared across monthly returns is ₹8,28,50,000. The accountant enters adjustments in Table 5, leaving an unreconciled turnover of ₹3,50,000 in Table 5Q that requires formal explanation in Table 6.

Formula verification: ₹8,40,00,000 plus ₹12,00,000 minus ₹5,00,000 minus ₹15,00,000 equals ₹8,32,00,000 in Table 5N. Comparing Table 5N (₹8,32,00,000) with Table 5P (₹8,28,50,000) yields an unreconciled turnover of ₹3,50,000 in Table 5Q.

The auditor documents the ₹3,50,000 variance in the Table 6 audit working paper using two clear line items:

1. Notice pay recovery: ₹1,50,000 recovered from employees, credited to staff welfare expense in audited accounts, not liable to GST per Schedule III.
2. Unrealised foreign exchange gain: ₹2,00,000 credited to profit and loss account under Ind AS 21 on export debtors outstanding at year-end, which does not constitute outward supply.

Sum check: ₹1,50,000 plus ₹2,00,000 equals exactly ₹3,50,000, fully accounting for the difference in Table 5Q with zero undisclosed tax liability.

Standard audit documentation format

Keep a structured documentation format in the annual return audit file GSTR9C_TABLE6_TURNOVER_RECON_2025_26.xlsx for immediate submission if an inquiry arises under scrutiny.

Frequently asked questions

Last checked: 23 October 2026. Sources: CBIC Tax Information Portal, GSTN Returns Portal Manual.