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Party Balance Confirmation Before Audit: How to Do It With BUSY
ऑडिट से पहले पार्टी बैलेंस कन्फर्मेशन: BUSY से कैसे करें
Send balance confirmations to parties before audit: statement of account from BUSY, a confirmation letter format, finding differences, and what auditors look for.
Auditors want to see that the balances of your customers and suppliers are real. A signed balance confirmation from the party, matching your books, is the simplest proof. Starting early also brings out missed bills and wrong entries before they reach GSTR-9 or a notice.
Who to send it to
- All parties with a large balance (your CA may give a cut-off, for example the top parties covering most of the total)
- Parties with old or unmoved balances
- Related parties, loans and advances
- Any party where you already know there is a difference
Step by step with BUSY
Clean your side first
Enter every bill and note up to 31 March, finish bank reconciliation, and settle bill-by-bill references.
Set the letter text once
Administration > Configuration > Letter Text Configuration > Statement of Account: add a line asking the party to confirm the balance or point out differences, with your contact.
Print the statement
Print/Email/SMS > Outstanding Analysis > Statement of A/C, choose the party, period 1 April to 31 March, and print or save as PDF.
Send it
E-mail from BUSY, or send the PDF to the party's phone with Bharat Narada Muni. Keep a list of who was sent what and when.
Collect replies
Ask for a signed copy or a reply e-mail. A party's own ledger copy is even better: it shows exactly where you differ.
Menu names as given in BUSY's own help on busy.in; they can differ slightly by BUSY version, plan and configuration. Take a backup before changing settings.
Confirmation letter format
To: [Party name]
Subject: Confirmation of balance as on 31 March [year]
As per our books, your account shows a balance of Rs [amount] [Dr / Cr] as on 31 March [year]. The statement of account is attached.
Please confirm the balance by signing below, or send your ledger copy if your books show a different figure, within 15 days.
[Your firm, name, phone]
We confirm the above balance / Our books show Rs [amount] [Dr / Cr] (statement attached).
Signature and stamp of party, date
When the balance does not match
| Usual reason | What to check |
|---|---|
| Bill or credit note on one side only | Ask for the document; enter it in the right month |
| TDS deducted by the party | Match with Form 26AS / AIS; book the TDS receivable |
| Freight, discount or rounding | Agree with the party which side corrects |
| Cheque in transit or goods in transit | Timing difference: note it, no entry needed |
| Entry posted to the wrong party | Move it with Bharat Bulk Handler |
| Same bill entered twice | Delete the duplicate; check GSTR-1 / ITC for the same bill |
Matching two ledgers line by line takes hours. Bharat Darpan reads the party's ledger (PDF, Excel or photo) and matches it with BUSY bill by bill, with a reason for each difference. More on this: party ledger reconciliation in BUSY.
Part of the year-end closing checklist.
General information, not legal advice. GST and income-tax rules change often: check the latest notifications, circulars and GSTN advisories, and consult your CA or tax practitioner for your own case.
Need it done for you?
Our team sets this up remotely over UltraViewer, usually the same day. Call or message us, or see BUSY services.
Updated 2026-10-27 · Bharat Busy Care, Authorised BUSY Platinum Partner, Sri Ganganagar
FAQ
What is a balance confirmation?
A letter to a customer or supplier showing the balance in your books on a date, asking them to confirm it or show their figure. Auditors use it as proof that balances are correct.
How do I print a statement of account in BUSY?
Print/Email/SMS > Outstanding Analysis > Statement of A/C, choose the party and period, then print, save as PDF or e-mail it.
Can I change the text printed on the statement of account?
Yes: Administration > Configuration > Letter Text Configuration > Statement of Account.
What if the party does not reply?
Send a reminder, then show the auditor the bills, payments and later transactions that support the balance. Your auditor may also send confirmations directly.
Why does the party's balance differ by the TDS amount?
The party deducted TDS on payment and shows only the net. Check Form 26AS / AIS and book the TDS as receivable in your books.
Talk to a BUSY expert
Call or message us; we answer in Hindi or English.