To close a Myntra seller account at month-end, fix a cut-off date, download the month's sales, returns and settlement reports, match each order to its payout, verify commissions and fees against your agreement, review returns and open claims, post accounting entries with your tax adviser's guidance, and carry forward unexplained differences as an itemised list.
Set the cut-off and collect your files first
Most month-end problems on Myntra come from mixing periods. Decide whether you close on order date, delivery date or settlement date, and apply the same rule every month. Agree this once with your accountant and write it down.
Then collect the following:
- Sales or order report for the month
- Settlement or payout reports covering the month and the first days of the next month
- Returns and RTO reports
- Bank statements showing marketplace credits
- Your seller agreement, commission rate card and any signed amendments or promotional terms
- Open claims, tickets, and debit or credit notes
Download these from your Myntra seller panel, keep an unedited copy in a dated folder, and work on a duplicate.
Match sales to settlements, order by order
Reconciling at total level hides errors, because a short payment on one order can be offset by an excess on another. Work at order or item level.
- Total the month's sales and split them into delivered, returned, cancelled and in transit.
- Match each delivered order to a settlement line using the order or item ID. List every order with no settlement line.
- Total settlements by payout date and match them to bank credits.
- Classify each gap as timing (will settle next month), short payment, duplicate or unknown.
Timing differences are normal. Check your agreement for the payout cycle so you know which orders should have settled by month-end and which should not.
Verify commissions, fees and deductions
Every deduction should trace to a clause in your agreement or rate card. Rates differ by brand, category and agreement, and they change, so take them from your own documents and the latest communication from Myntra, not from memory or from any blog.
- Commission: is the percentage applied the one agreed for that category and price band?
- Fixed and logistics fees: do they match the current rate card?
- Promotion and discount contributions: do they match what you opted into?
- Penalties and chargebacks: is there a stated reason and reference?
- Unlabelled deductions: anything without a reference goes on the query list.
Sample your highest-value orders and every fee type that is new this month. For each variance, record the order ID, amount charged, amount expected and the clause you relied on.
Review returns, RTOs and recovery cases
Returns hit both revenue and cash, and they are where money is most often left unclaimed.
- Confirm returned orders are reversed correctly in the settlement report.
- Compare units marked as returned with units physically received in your warehouse.
- Flag items marked lost, damaged or not received as possible claims.
- Check the claim window in your agreement or seller panel and raise cases before it lapses.
- Keep an ageing list of open cases with date raised, amount, owner and status.
Do not write off an old recovery case just to tidy the close. Write-offs should have an approver and a reason.
Post tax and accounting entries carefully
Settlement deductions can include tax components such as TCS or TDS, and GST on fees. Rates and treatment depend on current law and your registration, so confirm them with your tax adviser and read the tax columns in your settlement report. Never carry last year's rates forward by default.
- Book sales and returns for the period under your chosen cut-off rule.
- Book commission and fees as expenses, with the tax split your adviser recommends.
- Compare tax collected or deducted in your reports with what appears in your tax portal statements.
- Record a receivable for delivered orders not yet settled.
- Provide for disputed amounts only as per your accounting policy.
Sign off with a short close pack
A close is complete when someone other than the preparer can see what was checked. Keep a pack with:
- Reconciliation summary: sales, returns, deductions, expected payout, actual payout
- Variance list with order IDs and status
- Open claims ageing
- Receivable and provision schedule
- Reviewer name and sign-off date
Excel handles this at low volumes. As order counts grow, a tool such as MarketplaceMetrics by Fundle can reconcile sales and settlements, check commissions and fees against agreed terms, and track returns and recovery cases. Myntra Excel reports are reviewed, other marketplaces are in scope discussion, and pricing is a tailored quote.
Worked example
Illustrative example only. These figures are made up to show the method and do not reflect actual Myntra rates or any real seller.
- Delivered sales for the month: ₹5,00,000
- Returns reversed: ₹1,00,000
- Net sales per your records: ₹4,00,000
- Total deductions per settlement report (fees, commission, tax components): ₹1,10,000
- Expected net payout: ₹2,90,000
- Bank credits received: ₹2,60,000
- Gap to explain: ₹30,000
Order-level matching splits the gap as follows: ₹18,000 is orders delivered in the last days of the month that settle next month (timing, so accrue a receivable); ₹7,000 is a fee charged above the agreed rate card (raise a query with the clause reference); ₹5,000 is a returned item not yet confirmed as received (hold as an open claim). Total: ₹30,000, with nothing left unexplained.
Questions and answers
When should I start the Myntra month-end close?
Start once the last settlement report covering your cut-off is available, not on the 1st by default. Because some orders settle in the following month, closing too early leaves large timing gaps. Check your payout cycle in your seller agreement and plan accordingly.
Which cut-off should I use: order date, delivery date or settlement date?
Use the one your accountant has agreed and apply it consistently. Many sellers recognise sales on delivery and track settlement separately as a receivable. The right choice depends on your accounting policy and tax advice, so confirm it before changing anything mid-year.
How do I check if Myntra charged the correct commission?
Compare the commission on each settlement line with the rate in your seller agreement or latest rate card for that category and price band. Confirm any recent amendments with your Myntra contact. Log every mismatch with the order ID, amount charged and expected amount.
What should I do with unexplained payout differences at month-end?
Do not net them against other items. List them with order IDs, amounts and the likely cause, raise queries or claims within the allowed window, and carry them forward as an itemised open list. Review that list at the start of the next close.