Deepti Arora & Co.

𝗧𝗛𝗘 𝗖𝗙𝗢 𝗠𝗜𝗡𝗗𝗦𝗘𝗧 𝗦𝗘𝗥𝗜𝗘𝗦 | 𝗪𝗘𝗘𝗞 𝟲

Intercompany reconciliations: the silent chaos hiding in growing businesses

As companies expand into multiple entities, intercompany balances explode quietly. And if they are not reconciled monthly, they become a nightmare during audit and consolidation.

The common causes are surprisingly predictable:
• Timing differences
• Missing invoices
• Currency mismatches
• Different accounting treatments
• No ownership

The solution is discipline.

Every month:
✔ Match balances entity-wise
✔ Resolve variances immediately
✔ Standardise cut-offs
✔ Maintain reconciliation ownership
✔ Document adjustments centrally

Every unreconciled intercompany balance is an audit issue waiting to happen.

And usually, the problem surfaces at the worst possible time.

📊 AIS vs Form 26AS vs TIS — do you know the difference?

Every year, lakhs of taxpayers file their ITR without checking the right reports — and end up with mismatches, notices, and unnecessary stress.

Here is a quick breakdown of all three:

📋 Form 26AS — check this for TDS, TCS, advance tax paid, and refund status. Your tax credit statement.

📈 AIS (Annual Information Statement) — check this for your complete income picture. Salary, interest, dividends, mutual funds, property transactions, foreign remittances and more. This is what the Income Tax Department already knows about you.

📄 TIS (Taxpayer Information Summary) — a simplified, categorised view of your AIS. Use this for a final review before submitting your ITR.

✅ The golden rule: review all three before filing. If your ITR doesn't match what's in AIS, an automated notice follows.

💡 Takes 20 minutes. Saves months of back-and-forth with the IT Department.

📌 Save this post — ITR filing season is here.
📤 Share it with someone who is filing their return this month.

👇 Which of these three do you check before filing your ITR?

— CA Deepti Arora | Deepti Arora & Co., Manesar, Gurugram
🌐 cadeeptiarora.com