A ledger confirmation letter is a request to a customer or vendor to confirm the entries and the closing balance of their ledger account in your books for a stated period. It contains the period, an extract of the ledger (date, particulars, voucher number, debit, credit, running balance), the closing balance in figures and words, and a signed confirmation section. Signed by the debtor, it also works as a written acknowledgement of debt under Section 18 of the Limitation Act.
Ledger confirmation letter format
Use this when you want the customer to check entries, not just a total. Export the ledger from your accounting software for the period and paste it into the table, or attach the full ledger and give only the summary in the letter.
[YOUR COMPANY NAME]
[ADDRESS] | GSTIN: [YOUR GSTIN] | Phone: [PHONE] | Email: [EMAIL]
Date: [DATE OF LETTER]
To,
[PARTY NAME]
[PARTY ADDRESS]
GSTIN: [PARTY GSTIN]
Subject: Confirmation of your ledger account in our books for the period [FROM DATE] to [TO DATE]
Dear Sir/Madam,
Given below is an extract of your account in our books for the period [FROM DATE] to [TO DATE]. Please compare it with our account in your books and confirm the entries and the closing balance by signing and returning the confirmation below within [15] days.
LEDGER EXTRACT: [PARTY NAME]
Date | Particulars | Voucher No. | Debit (Rs.) | Credit (Rs.) | Balance (Rs.)
[DD-MM-YYYY]| Opening balance | - | | | [AMOUNT] Dr
[DD-MM-YYYY]| Sales: Invoice [INVOICE NO.] | [VOUCHER NO.]| [AMOUNT] | | [AMOUNT] Dr
[DD-MM-YYYY]| Receipt: [UTR / CHEQUE NO.] | [VOUCHER NO.]| | [AMOUNT] | [AMOUNT] Dr
[DD-MM-YYYY]| TDS deducted u/s [194C/194Q/..] | [VOUCHER NO.]| | [AMOUNT] | [AMOUNT] Dr
[DD-MM-YYYY]| Credit note [CN NO.] | [VOUCHER NO.]| | [AMOUNT] | [AMOUNT] Dr
[DD-MM-YYYY]| Debit note [DN NO.] | [VOUCHER NO.]| [AMOUNT] | | [AMOUNT] Dr
| Closing balance as on [TO DATE] | | | | [AMOUNT] Dr
Closing balance payable by you as on [TO DATE]: Rs. [AMOUNT IN FIGURES] (Rupees [AMOUNT IN WORDS] only).
If any entry does not appear in your books, or appears differently, please list it in the space below or send your ledger for the same period.
Yours faithfully,
For [YOUR COMPANY NAME]
[AUTHORISED SIGNATORY NAME], [DESIGNATION]
------------------------------------------------------------
CONFIRMATION BY [PARTY NAME]
We have verified the above ledger extract with our books of account and confirm that:
[ ] The entries and the closing balance of Rs. [AMOUNT] payable by us as on [TO DATE] are correct.
[ ] The entries agree except the following: [LIST OF DIFFERENCES WITH DATES AND AMOUNTS]
For [PARTY NAME]
Signature: ____________________ Name: [NAME] Designation: [DESIGNATION]
Date: [DATE] Seal / stamp:Subject: Ledger confirmation: [YOUR COMPANY NAME] account, [FROM DATE] to [TO DATE] Dear [NAME], Please find attached our ledger of your account for [FROM DATE] to [TO DATE]. As per our books, the closing balance payable by [PARTY NAME] as on [TO DATE] is Rs. [AMOUNT] (Rupees [AMOUNT IN WORDS] only). Kindly reply to this email confirming the balance, or return the attached confirmation signed and stamped, by [DATE]. If there is any difference, please share your ledger so that we can reconcile. Regards, [NAME], [DESIGNATION] [YOUR COMPANY NAME] | [PHONE]
How to fill it
- Choose the period. For an audit it is the financial year; for a dispute, start from the last date on which both sides agreed the balance.
- Start with the opening balance and make sure it equals last year's confirmed closing balance.
- List every voucher: invoices (with invoice numbers), receipts (with UTR or cheque numbers), TDS, credit notes, debit notes and any journal adjustments.
- Show the running balance and mark it Dr (receivable) or Cr (payable).
- State the closing balance in figures and words in the body of the letter, not only in the table.
- Send to the person who keeps their books, copy the purchase head, and follow up by phone after a week.
Common mistakes
- Missing invoice numbers. 'Sales' with no invoice number cannot be traced by the customer and invites a reply that the entry is unknown.
- Netting entries. Show the invoice and the payment separately. A net figure hides partly paid invoices and makes the confirmation useless as evidence.
- Unbooked TDS. The customer's TDS appears in their books (and in Form 26AS) but not in yours; book it before sending.
- No space to record differences. Give the customer a place to say 'agreed except'. A partial agreement is still useful; a refusal to sign is not.
- Filing it and forgetting. A ledger that the customer returns with differences is a dispute waiting to happen; resolve it while the people involved still remember the transactions.
Why the ledger confirmation matters when payment stops
A signed ledger confirmation proves three things at once: the supplies (each invoice listed and accepted), the payments made, and the balance. When a buyer later claims that some invoices were never received or that a credit note is still due, the confirmed ledger answers it. It is an acknowledgement of debt under Section 18 and it restarts the 3-year period for every invoice it lists. (A genuinely mutual, open and current running account has its own rule under Article 1 of the Limitation Act, but courts have held that an ordinary supplier-buyer account usually does not qualify, so the signed confirmation is what you should rely on.)
If the confirmed balance is still unpaid, move to a payment reminder and then a legal notice. The confirmed ledger is the first document an advocate asks for, and a notice that attaches it is hard for the buyer to brush aside.
FundRaksha has helped 1,000+ businesses with unpaid invoices; a free consultation will tell you whether your confirmed balance can go to MSME Samadhaan, a summary suit or a negotiated payment plan.
Last reviewed: 2026-10-20. Information for Indian businesses; not legal advice.