Reviewed October 2026. GST rates were rationalised in September 2025 and procedures such as the Invoice Management System and refund annexures have evolved since this article was first written. Verify current rules before acting, and see our latest GST & tax news.
A GST audit is a verification of your returns, records and compliance. It need not be alarming if your books are in order.
Audit, scrutiny and assessment
The department may scrutinise returns for discrepancies, conduct an audit of the registered person, or investigate in specific cases. Each follows a procedure with notices, response windows and documentation.
What officers look for
- Differences between GSTR-1, GSTR-3B, GSTR-9 and books
- ITC claimed versus ITC available in GSTR-2B
- Correct tax rates, classification and place of supply
- Reverse charge and ineligible credits
- Timely filing and payment
Your audit-ready checklist
- Monthly reconciliation of sales, purchases and ITC, saved with supporting files
- Invoice, contract and e-way bill copies stored systematically
- Annual return and reconciliation prepared with explanations for differences
- All portal notices answered within time, with proof of submission
- An annual compliance review by a professional
GstMan offers a GST compliance review that finds gaps before a notice does.
Helpful tools & services
Need expert help with this?
Talk to the GstMan team. We will guide you step by step.
General information only; not professional advice. Rates, limits and due dates change. Verify with official sources or consult a professional. Reviewed October 2026. See our editorial policy.
