Overview
Bookkeeping is the daily discipline of recording transactions with evidence. A steady routine is cheaper than a year-end clean-up and catches errors such as missing input tax credit or unpaid TDS early.
Who this is for
- Founders and finance teams in growing businesses
- Businesses outsourcing bookkeeping who want to know what to check
Step by step
- Weekly: record and fileEnter sales invoices, purchase bills and expenses with documents attached.
- Monthly: reconcileMatch bank and gateway statements, and compare purchases with GSTR-2B for input tax credit.
- Monthly: review payables and receivablesChase overdue customers and pay suppliers, especially MSMEs, on time.
- Monthly: close the booksBook accruals, depreciation and payroll, then review the profit and loss account.
- Quarterly: review taxesCheck advance tax, TDS returns and GST filings for consistency.
Documents you will need
- Sales and purchase invoices
- Bank and payment-gateway statements
- Expense bills and reimbursements
- Payroll registers
The process
Your monthly close feeds GST returns, TDS returns, management reports and finally the audited financial statements.
Authorities involved
- GST and Income Tax authorities: Rely on your records when assessing returns and notices.
Common mistakes
- Recording expenses without bills, which loses input credit and deductions.
- Ignoring unreconciled bank entries.
- Paying MSME suppliers late without realising the interest and disallowance consequences.
Checklist
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Frequently asked questions
How long must records be kept?
The Companies Act, GST law and income-tax law each set retention periods. Keep records for the longest period that applies to you, and longer if any proceeding is pending.
Official sources
- GST portal — registration, returns and payments — Goods and Services Tax Network
- Income Tax e-filing portal — Income Tax Department
Related services
- GST + Bookkeeping Package — from ₹11,681 (incl. GST) + Govt. Fees, if applicable
- GST Accounting & Monthly Compliance — from ₹1,651 (incl. GST) + Govt. Fees, if applicable