Download the marketplace's GSTR-8 data for your GSTIN from the GST portal and compare it with the e-commerce supplies in your GSTR-1 for the same period. Split the gap into timing, returns, cancellations and genuine errors. Amend your own GSTR-1 where you were wrong, and raise a written query with the marketplace where its GSTR-8 is wrong, attaching order-level proof. Keep a signed reconciliation note for your CA.
Why GSTR-8 and GSTR-1 rarely match exactly
GSTR-8 is filed by the e-commerce operator (the marketplace). It reports, against each seller's GSTIN, the supplies made through the platform and the tax collected at source (TCS). GSTR-1 is your own return, built from your invoices and credit notes. Two different parties are reporting the same sales from two different systems, so differences are normal.
The aim is not to force both to be identical. The aim is to explain every rupee of difference and fix only what is actually wrong.
- GSTR-8 reflects the marketplace's view: its order, shipment and return dates, and its period of filing.
- GSTR-1 reflects your view: your invoice dates, your credit notes, and the way you classified supplies.
- Settlement reports show what was actually paid out, and help you prove which view is right.
Common causes of a mismatch
Most gaps fall into a small set of causes. Check these before assuming anyone has made an error.
- Period cut-off: an order invoiced on the last day of a month may be reported by the marketplace in the next month, or the other way round.
- Returns and cancellations: GSTR-8 is reported net of returns as the marketplace processes them. If you issue credit notes later, or not at all, GSTR-1 will show a higher value.
- Value definition: discounts, platform-funded offers, shipping charges and other components may be treated differently in your invoice and the marketplace's report.
- GSTIN or state errors: a wrong GSTIN, or a sale tagged to the wrong state or registration, moves value to the wrong place.
- Amendments: the marketplace may have corrected an earlier period in a later GSTR-8, so the original month looks short.
- Quarterly filing: if you file GSTR-1 quarterly while GSTR-8 is monthly, compare the months within the quarter, not single months against the quarter.
Step-by-step: how to fix the mismatch
- Pull the marketplace's data. Download the TCS and supply details reported against your GSTIN from the GST portal for the period. Note the portal's current navigation and table names, as formats change.
- Pull your own numbers. Take the e-commerce supplies table from your filed GSTR-1 (Table 14 in the format we know; confirm on the current portal) and your credit notes for the same period.
- Get order-level data. Export the marketplace's sales, returns and settlement reports for the same dates.
- Match at order level. Match by order ID or invoice number, not by totals. Flag orders that exist on one side only.
- Classify each difference as timing, return or cancellation, value definition, wrong GSTIN or state, or unexplained.
- Fix what is yours. Missing credit notes, wrong values or wrong tagging should be corrected through the amendment route in your GSTR-1, as advised by your CA.
- Raise what is theirs. If the marketplace's GSTR-8 shows the wrong value or GSTIN, write to seller support with order IDs, invoices and settlement proof, and ask for a correction in a later GSTR-8.
- Record the outcome. Keep a note of what was explained, amended and escalated, with dates and ticket numbers.
Check the TCS credit as well as the sales value
The sales mismatch matters because TCS credit follows what the marketplace reports. Once the operator files GSTR-8, the TCS collected against your GSTIN is reflected in your records and can be used through your electronic cash ledger. If the marketplace under-reports your supplies, the TCS credited may be lower than expected.
Confirm the TCS rate and the credit mechanism in the latest CGST provisions and notifications, or with your tax adviser. Then compare the TCS shown against your GSTIN with the TCS deducted in your settlement reports. A difference here is a strong signal that the marketplace reported a different value from the one it settled.
When to amend GSTR-1 and when to escalate
| Situation | Likely action |
|---|---|
| You missed a credit note for a return | Correct in your GSTR-1 as per the amendment route; confirm with your CA |
| Order invoiced in one month, reported by marketplace in the next | Usually timing only; document it and check that it reverses |
| Wrong GSTIN or state on your invoice | Amend your own return |
| Marketplace reported wrong value or wrong GSTIN | Raise a written query with proof; ask for correction in a later GSTR-8 |
| Gap remains unexplained after matching | Escalate to the marketplace and inform your CA before filing the next return |
Do not amend your GSTR-1 just to match GSTR-8 if your invoices are correct. Align the return to the facts, not to the other party's report.
Make it a monthly routine
Reconcile each month after the marketplace's GSTR-8 window closes and before your own filing is finalised. Keep sales, returns and settlement reports organised by period. Many brands run this in spreadsheets; tools such as MarketplaceMetrics by Fundle can reconcile marketplace sales and settlements and track returns, so order-level gaps are visible early. Myntra Excel reports are reviewed, and other marketplaces are in scope discussion.
Whatever method you use, the output should be the same: a short sign-off note per month listing explained differences, amendments made and open queries.
Worked example
Illustrative example only. All figures are made up to show the method.
| Item | Amount (₹, illustrative) |
|---|---|
| Net taxable value in your GSTR-1 for the month | ₹12,00,000 |
| Net value reported in the marketplace's GSTR-8 | ₹11,35,000 |
| Gap to explain | ₹65,000 |
| Orders invoiced on the last two days, reported by marketplace next month (timing) | ₹40,000 |
| Returns processed by marketplace, credit notes not yet in your GSTR-1 | ₹18,000 |
| Unexplained after order-level matching | ₹7,000 |
Action: the ₹40,000 should reverse in the next period, so note it and verify. The ₹18,000 needs credit notes, corrected as your CA advises. The ₹7,000 goes to the marketplace as a written query with order IDs and settlement proof.
Questions and answers
Does GSTR-8 have to match GSTR-1 exactly?
No. They are filed by different parties using different dates and systems, so small differences are common. What matters is that you can explain each difference with order-level evidence and correct genuine errors in your own return or through the marketplace.
Who files GSTR-8 and who files GSTR-1?
The e-commerce operator, meaning the marketplace, files GSTR-8 reporting supplies and TCS by seller. You, the seller, file GSTR-1 reporting your own outward supplies. Confirm filing frequency and due dates on the GST portal or with your tax adviser.
Should I change my GSTR-1 to match the marketplace's GSTR-8?
Only if your own return is wrong, for example a missing credit note or an incorrect GSTIN. If your invoices are correct and the marketplace reported incorrectly, raise a written query with proof rather than amending your return to match.
What documents help prove my case to the marketplace?
Keep order-level sales reports, return and cancellation reports, settlement statements showing TCS deducted, your invoices and credit notes, and screenshots of the portal data. Quote order IDs and the period in every query, and record ticket numbers and responses.