Answer

1. F

   Facts

   Differences usually come from refunds, settlement timing, charges or personal receipts. Reconcile weekly so that your sales register and bank credits can be explained.

2. P

   Provisions and law

   • Sec 35(1), CGST Act 2017Every registered person keeps true and correct accounts of production, stock, inward and outward supplies, ITC and output tax at the principal place of business
   • Rule 56, CGST Rules 2017Details of records: supplies, stock, advances, tax paid, ITC and names of suppliers and buyers, kept at each place of business
3. A

   Analysis

   Sec 35 needs true accounts, and in scrutiny the department may compare bank credits with declared turnover. Example: sales register shows ₹1,10,000 UPI for the week but the bank shows ₹1,06,500; the gap is a ₹2,000 refund and a ₹1,500 settlement that landed on Monday. Write such notes in the register.

4. C

   Conclusion

   1. 1Download the UPI or payment app report weekly.
   2. 2Match it with bills in the sales register.
   3. 3Note refunds, charges and timing gaps.
   4. 4Mark any personal receipts separately.
   5. 5Keep the reconciliation with your records.

General guidance from TaxSavvy’s library of money processes. Laws change; your Savvy confirms the answer on your exact case before anything is filed.